Australia’s leading online gambling operators have agreed to support a ban on using credit cards to fund gambling.
This comes after Great Britain imposed a ban on using credit cards to fund gambling activity last year.
Australian operators back credit card ban
Members of Responsible Wagering Australia (RWA), which include the likes of bet365, Betfair, Entain, and Sportsbet, have agreed to support a ban on the use of credit cards to fund online gambling in Australia.
During a public hearing of the Inquiry into Regulation of the use of financial services such as credit cards and digital wallets for online gambling in Australia, RWA CEO, Brent Jackson announced the ban.
In his opening address, Jackson said: “As a policy-based body we want to achieve the best outcome for consumer protection. We think that the best way of achieving this is by committing to transparent discussion and actively working with stakeholders to make sure we provide the best outcomes.
“Australia’s major online wagering operators will support development of measures to prohibit credit card wagering.”
According to the RWA CEO, the body will work with financial institutions to help implement the credit card ban.
Jackson continued: “Responsible Wagering Australia members have agreed to develop a technical solution to deliver this reform in a timely fashion and will seek the assistance of banks and payment processing providers to ensure the change can be delivered without adverse unintended consequences.
“Responsible Wagering Australia members acknowledge concerns expressed by policymakers and the community sector and will seek to develop measures which harmonise the online environment with gambling at clubs, pubs, and casinos where credit card use is prohibited.
“This measure will build on Australia’s strong consumer protection framework for online gambling.
“Responsible Wagering Australia members recognise and respect community views on this issue and will work constructively on delivering this reform.”
Regulatory approval needed to implement ban
Jackson noted that regulatory approval would be needed to introduce the credit card ban.
“To ensure legal compliance, any agreement to implement the measures being developed is subject to relevant parties obtaining all necessary regulatory approvals, including ACCC authorisation,” said Jackson.
The inquiry into the use of credit cards in gambling comes after a 2019 consultation from the Australian Banking Association on the issue.
In 2020, the consumer-owned Bank Australia announced it would stop accepting and processing credit card payments for gambling transactions.
Another country to ban credit card gambling
Australia is now the latest country to explore introducing a ban on using credit cards to gamble.
Last year, Britain’s Gambling Commission implemented a ban on using credit cards to fund online gambling activity.
This ban also covered a ban on using credit cards through e-wallets, with the Commission reminding operators that they can only accept customer payments from e-wallets if they prevent using credit cards to gamble.