Australian government set to ban credit card sports betting

Australia’s Labor party will today announce plans to make it illegal for online gambling companies to allow customers to use credit cards.

While there is no set date for when the ban will come into effect, the legislation to implement it will be introduced to parliament later this year.

The ban will not apply to lotteries, and it was one of the recommendations from the 2021 parliamentary committee inquiry into online gambling.

The new ban will introduce regulation of credit cards and digital wallets for gambling with online bookmakers.

The ban aims to bring online gambling in line with other services where credit cards are not allowed.

Labor will consult with industry groups and stakeholders about the draft legislation and how to implement the ban.

The government plans to use the same system currently in use in Australian casinos to prevent credit card withdrawals from ATMs, using bank identification numbers (BINs) to block credit card payments.

There was no word on whether or not Visa debit card deposits for sports betting or Mastercard debit card bookmaker deposits would still be allowed.

Presumably other sports betting payment methods to fund betting accounts such as PoLi or direct bank transfers will be unaffected

While the proportion of people using credit cards for online gambling may be low, the harm caused can be significant and life-changing, according to the committee’s report.

According to the Australian Government, the ban has been designed to minimize harm, and is in line with community expectations.

A 2019 survey commissioned by the Australian Banking Association (ABA) found that 81% of respondents agreed that credit cards should be restricted or banned in some way.

The ABA’s evidence before the online gambling inquiry was extremely sensitive, if not somewhat misleading.

Lottery services will be excluded from the ban as they present a low risk of gambling harm.

Minister for Communications Michelle Rowland and Minister for Social Services Amanda Rishworth said that legislating the ban on the use of credit cards for sports betting sites is a priority to protect Australians from problem gambling.

They pointed to the fact that people should not be betting with money they do not have.

The government is taking further action to help Australians who are vulnerable to harmful online wagering.

Once current parliamentary inquiry into online gambling has reported back, the government will take further advice on the issue.

The full report and recommendations from the online gambling are not expected to be released until late this year.