UK bans gambling firms from allowing customers to bet via credit cards
As a result of a major shake-up of rules, as of April 14, customers will only be able to place bets by using their debit cards or through cash deposits rather than using credit cards. This ban is intended to provide enhanced protection to vulnerable people who are classified as problem gamblers.
Regulators are of the opinion that credit card gambling might lead to financial harm. Essentially, by minimizing credit card availability, the risk of harm and excessive debt would be reduced. This ban helps ‘consumers to only gamble with money they can afford to spend.’
Action has been taken to introduce such bans on the use of credit cards for online bets over the past two years. Data shows that an estimate of £46 million worth of credit card deposits was made in February 2019.
Measures have been taken in the past year to constrain the qualifications for betting in order afford more protection. These measures include amongst others tighter age and identity checks for online gambling, cutting the maximum on fixed odds betting and expanding national specialist support.
In order to provide additional support for gambling addicts, the UK will launch a nationwide addiction strategy in 2020. In this regard, the Football Association will not renew anymore the deal that allows gambling websites to screen live football matches. Additionally, schemes which reward gamblers who habitually lose money will be shut down by the Gambling Commission.