The Australian government is tightening restrictions on internet wagering by prohibiting the use of credit cards for bets. In the next few months, the government intends to introduce legislation to harmonize online gambling rules with current regulations for land-based casinos, where credit card usage is already limited.
Minister for Communications Michelle Rowland stressed the significance of safeguarding at-risk individuals, saying that people should not gamble with funds they do not possess. The prohibition will be enforced by utilizing Bank Identification Numbers (BINs) to detect and prevent credit card transactions to gambling websites.
This action follows a 2021 study by the Australian Responsible Gambling Council, which disclosed that approximately 20% of all deposits into online gambling accounts were made via credit cards. The government’s goal is to have the revised Interactive Gambling Act, encompassing this ban, implemented by the end of this year.
Australia’s strategy reflects comparable measures adopted in the United Kingdom, where credit card bans for online gambling are already in effect. The government also emphasized the successful deployment of BIN blocking technology in Australian casinos and gaming establishments to thwart cash withdrawals from ATMs using credit cards.
A prominent gaming corporation, Tabcorp, disclosed that in 2021, 13.7% of funds added to user accounts on their system originated from credit cards. This method, frequently resulting in excessive spending, has been a significant worry for individuals battling gambling dependence. The Coalition for Responsible Gaming applauded Tabcorp’s move to prohibit credit card funding, deeming it a vital measure in mitigating gambling-related harm. Carol Bennett, the organization’s chief executive, highlighted the significance of this action, noting that numerous people grappling with gambling difficulties turn to credit card cash advances, often amassing insurmountable balances.