Credit Card Companies Ban Online Betting
Credit card companies are beginning to block online gambling charges, just as web-based casinos are becoming legal in the United States.
Delaware and Nevada currently allow internet gambling in their borders, and officials in New Jersey are discussing the subject. The new credit card blocks will hinder that process considerably.
Bank of America, Wells Fargo, American Express and even PayPal are putting a stop to internet wagering. H2 Gambling Capital estimates a loss of $7.4 billion in annual revenue for online gambling providers over the course of four years.
Visa and MasterCard allow gambling related credit card transactions on their cards, but only in states where the process is legal.
Some credit card companies worry that the liability of Internet gambling could fall on them, a risk they are not willing to take. The states that have legalized internet gambling will have to convince these credit card issuers to remove the blocks.