UKGC has announced a ban on gambling businesses allowing consumers in GB to use credit cards for gambling activities. This measure should come into effect on 14 April and it follows the Commission’s review of online gambling and the Government’s Review of Gaming Machines and Social Responsibility Measures.
The public consultation took place between August and November 2019, and as far as the figures show, around 800,000 consumers use this banking method to participate in gambling. Out of 24 million adults, which represent an overall number of players in GB, 10.5 million of them play games via the Internet. Additional research reveals that 22% of online punters using this payment option to bet are classified as problem gamblers.
Neil McArthur, Gambling Commission chief executive, commented as follows:
“Credit card gambling can lead to significant financial harm. The ban that we have announced today should minimize the risks of harm to consumers from gambling with money they do not have.”
The Risk is too High
The main goal of this stringent measure is to provide an additional layer of protection to vulnerable consumers. As decided after the consultation, the ban will encompass all online and offline gambling products excluding non-remote lotteries.
McArthur pointed out:
‘“We also know that there are examples of consumers who have accumulated tens of thousands of pounds of debt through gambling because of credit card availability. There is also evidence that the fees charged by credit cards can exacerbate the situation because the consumer can try to chase losses to a greater extent.”
Even though credit cards are one of the most convenient payment methods…
… still, the potential risk of harm was too high, as some clients are basically playing games with the money they cannot afford to spend. That’s why it is essential to accompany the ban with additional efforts and measures, for an even higher level of protection.
As McArthur explained:
“We realize that this change will inconvenience those consumers who use credit cards responsibly but we are satisfied that reducing the risk of harm to other consumers means that action must be taken. But we will evaluate the ban and watch closely for any unintended circumstances for consumers.”
Continuous Revision to Improve Safety
Despite the fact that the vast majority of players doesn’t exhibit problematic behaviour, still a certain group of consumers turned the lives upside down by gambling addiction, as the Culture Minister Helen Whately noticed. For that reason, the Gambling Act needs to be constantly revised to make sure it’s suitable for the current situation.
The Culture Minister explained:
“In the past year, we have introduced a wave of tougher measures, including cutting the maximum stake on fixed-odds betting terminals, bringing in tighter age and identity checks for online gambling and expanding national specialist support through the NHS Long Term Plan. We have also secured a series of commitments from five leading gambling operators that will include £100 million in funding towards treatment for problem gamblers.”
The ministers from the Department for Digital, Culture, Media, and Sport (DCMS)…
… organized meetings with representatives from banks and entertainment venues aiming to develop a strategy where companies could use technology and customer data to help those at risk of developing gambling issues. One of the discussed topics was the usage of credit cards as well.
Obligatory Self-Exclusion Scheme
The Commission also went public with modifications to license conditions which will require all web-based entertainment businesses to join the self-exclusion scheme, GAMSTOP. The helpful measure will be at players’ disposal starting 31 March.
Neil McArthur commented:
“We welcome the fact that GAMSTOP have got to this stage in their development and encourage them to continue to improve their offer, particularly in relation to preventing those who have self-excluded being targeted by direct marketing.”
Helen Whately stressed out that all gambling-related businesses should promote socially responsible behavior and put efforts to enhancing protection.
“By making it a regulatory requirement for all online gambling websites licensed in Great Britain to sign up to Gamstop. I am confident that people who have taken the significant step to opt-out of gambling will be well supported, alongside a wide range of other tools.”
Source:
“Gambling on credit cards to be banned from April 2020”, gamblingcommission.gov.uk, January 14, 2020.
BELLESDADDY 4 years ago Jr. Member
I think this is something that should be practiced more widely I mean I understand how it hurts the ones that are responsible but if you want to gamble we all find a way to do it and it’s really no big deal. I like how this is showing their concern for the aedicts. It is very easy to max out a credit card and not pay attention...
I think this is something that should be practiced more widely I mean I understand how it hurts the ones that are responsible but if you want to gamble we all find a way to do it and it’s really no big deal. I like how this is showing their concern for the aedicts. It is very easy to max out a credit card and not pay attention or understand when you’re in that moment. People that are gonna be upset Are just whiners and want something to complain about because there are far better Options That are cheaper than that interest.
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sharpe 4 years ago Super Hero
Yeah I agree with all TrufflePiggie said bellow but even if some UK punters are frustrated about the suspension of the credit cards as a payment method for gambling (I mean those who us it responsibly) I still think this measure is for good generally and no one really should be able to gamble on dept cause this could just...
Yeah I agree with all TrufflePiggie said bellow but even if some UK punters are frustrated about the suspension of the credit cards as a payment method for gambling (I mean those who us it responsibly) I still think this measure is for good generally and no one really should be able to gamble on dept cause this could just to create or increase the addiction. One of the basic rules is gamble only that you could afford to loose so I think the ban makes a perfect sense from that perspective.
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TrufflePiggie 4 years ago Newbie
This will undoubtedly help those who exhibit risky behavior, but will inevitably inspire so many complaints from those who use this payment method smartly. Let’s wait and see the reactions.
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