It was reminded today by the UK Gambling Commission (UKGC) that its ban on credit card transactions applies to all-digital payment processing services.
The UKGC, having implemented licensing condition 6.1.2 on 14 April, have underlined the fact that its credit card restrictions apply to all digital payment services including: e-money transfers, e-wallets, mobile banking apps and further Fintech services that alklow credit financing to UK consumers.
They highlighted that the new legislation was introduced to make sure “maximum levels of friction” existed for players looking to gain credit financing in order to gamble. This is in order to protect vulnerable consumers and problem gamblers.
This ban on credit transactions also applies to “transferred funds” from credit cards to e-wallets. Operators must make sure these are not processed.
Popular mobile banking app Revolut has had the spotlight thrown onto it by the Commission, as it allows its customers to add money using credit cards. Operators “must put systems in place to prevent gambling payments from these products,” the UKGC said.
UK operators must make sure they’ve met the following requirements on players financing their accounts (adhering to the new licensing conditions):
“Operators must satisfy themselves that customers of that Money Service Business cannot fund their e-accounts or e-wallets with credit card deposits and then use those funds for gambling.
“Operators will need to reject all payments made through such MSBs that have not developed a ‘block’ to prevent credit card deposits being used for gambling through their e-account or e-wallet facilities.”
This new credit card legislation applies to online casinos nationwide, Nektan casinos included.