Australian Government Takes Action to Ban Credit Cards for Online Gambling

In a significant move aimed at curbing the impact of online gambling on its citizens, the Australian government has put forth a groundbreaking legislation that seeks to prohibit the use of credit cards for online wagering. This legislation, known as the Interactive Gambling Amendment (Credit and Other Measures) Bill 2023, not only targets credit cards but also extends its reach to digital currencies used for online gambling.

The bill, scheduled for introduction to parliament on Wednesday, September 13th, also proposes substantial fines for companies failing to comply with these new regulations. The fines can reach as high as $234,750 for any violations of the proposed provisions.

One of the key aspects of this legislation is the empowerment of the Australian Communications and Media Authority with enhanced enforcement capabilities, ensuring strict adherence to the new regulations. Additionally, a six-month transition period will be provided to both the industry and consumers, commencing from the date of Royal Assent. It's noteworthy that the use of credit cards for gambling in land-based venues is already prohibited within the country.

Furthermore, this bill empowers the Minister for Communications to take actions against additional credit-related products in an effort to proactively safeguard the legislation from future loopholes.

Michelle Rowland MP, the Minister for Communications, stressed the importance of this move, stating, "People should not be betting with money they do not have. The Australian government remains committed to protecting Australians from gambling harms. Legislating a ban on the use of credit cards for online gambling will help to protect vulnerable Australians and their loved ones."

This initiative aligns with recommendations that emerged from a parliamentary inquiry in November 2021, reinforcing the government's dedication to addressing the issue of gambling addiction.

In its continued efforts to mitigate the harms of online gambling, the government has introduced various policies, including monthly activity statements, evidence-based taglines replacing 'Gamble Responsibly,' and national staff training. Additionally, the BetStop national self-exclusion register now allows players to exclude themselves from all Australian licensed wagering services for periods ranging from three months to a lifetime.

Mandatory customer pre-verification is another upcoming measure, which will require operators to verify a customer's identity before they can place a bet, and it is expected to be implemented by the end of the month.

To further address gambling-related harms, state, territory, and commonwealth ministers responsible for online wagering will convene before the year's end.