How Will the Ban on Credit Card Usage Impact UK iGaming?
Recently, UK's Gambling Commission decided to ban the use of credit cards on iGaming activities. This is expected to be made official from April 14, 2020, according to the UK Gambling Commission. , players wishing to place bets online will have to do so through cash deposited into an account or using a debit card. According to the commission, this move is geared towards promoting responsible gambling. The ban on credit cards will ensure players won't be able to bet on the money they don't have. Ever since charity groups Citizens Advice and GambleAware first suggested the idea, the initiative has been around for more than two years.
According to research, around 22 percent of irresponsible gamblers use credit cards to pay; thus, it is considered to be a good idea to introduce this ban in order to prevent credit card debt. This could be the beginning of the revolutionary approach to ensure responsible gambling that we haven't seen yet. The United Kingdom is pioneering the movement aimed at ending risky gambling and promote the responsible approach instead.
What the Commission Hopes to Accomplish
By implementing this ban, the commission is hoping to promote the approach that urges the players to only spend with reason. Because you are not losing the money you already have, when gamblers use credit cards, it becomes harder to know when to stop. Also, their most significant downside is the whole appeal of the credit cards. In the industry where money can so frequently become an issue, they prevent you from responsibly thinking about money. Thus, it seems irresponsible to gamble away by the use of a credit card.
With this move, the commission is hoping to promote a more stable approach to gambling, and they may also be setting an example for other nations to follow as well. This ban has not been made official yet, and UK's major betting sites like Betplayer, Bet365, Betfair, 888, and PokerStars are still accepting credit cards on their sites. They have recently been receiving criticism for allowing their players to get themselves into big debts.
It has not been confirmed yet, but it is likely that other payment services like e-wallets, including PayPal, . This is a massive shift in the iGaming industry, and the feedback has been mixed. While this move will undoubtedly assist players with spending problems to get their habits in check, this might bring inconvenience to those who have no issue gambling responsibly even with credit cards. However, it makes sense that the U.K. made this decision since the topic of responsible gambling has become so relevant.
We have seen a massive shift in the way the government is approaching gambling, and according to industry authority VegasSlotsOnline, more regulations are coming in the way of the iGaming industry. For example, Malta Gambling Authority imposed a record fine of 2.34 million Euro on Blackrock Media.
The Future of U.K. iGaming
Gambling has become a significant part of the entertainment industry, and online casinos have only taken its fame further. However, it has become more challenging to control some aspects of gambling with online casinos. For instance, with online gambling it may be difficult to control or determine whether the player is underage. While overall online casinos have presented a whole new range of challenges for the U.K. iGaming operators, playing with the credit card being one of them, there is always more room for fraudulent activities.
The proactive approach targeted at creating a , will ultimately make the change for the better in the industry. However, it is a fine line between attempting to regulate its negative features and then working to keep the casinos under tight control. The first option can only impact positive changes to the community, while the second one will definitely not last very long. Additionally, the commission has sought to tighten regulations in recent years by bringing in tighter identity and age checks for online gambling and capping the maximum stake on terminals.
The idea of encouraging responsible gambling can also be seen in other parts of the globe. If the United Kingdom's efforts turn out to be effective, we will likely see the broader adoption of the new rules across other nations as well.