In a recent statement, the UK Gambling Commission (UKGC) announced how the recent ban on credit cards extends to gambling payments through any money service business (MSB), including e-wallets. The credit card ban has been effective since the 14th of April.
According to the new license condition 6.1.2., gambling firms are prevented from accepting any form of credit card payment, whether direct or through MSB, such as e-wallets, money institutions, or any other fintech company that supports credit card deposits.
“One of our key intentions in banning gambling with credit cards was to maximize the levels of friction during the process of accessing and using borrowed funds for gambling to reduce the risk of consumers experiencing harm from gambling with borrowed money,” says UKGC in the statement.
UKGC also stated how it is important for gambling firms to understand that the credit card ban cannot be simply circumvented by using an e-wallet or an online money transfer, such as Revolut. The British Watchdog reminded companies to reject all transactions made through MSBs that have not implemented a ban on credit card deposits for gambling purposes.