GamblersPost Gamblers Post is a dedicated news and networking portal in the online gambling industry which features news, opinions, interviews as well as product and software reviews.
Leading US sportsbook FanDuel will stop accepting credit card deposits across all its gaming verticals starting March 2, becoming the second major operator after DraftKings to eliminate this payment method. The decision follows sustained pressure from Senator Elizabeth Warren regarding predatory cash advance fees.
Credit card transactions for online gambling are typically coded as cash advances, triggering immediate fees of $10 or 3-5% of the deposit amount, plus instant interest accrual. For a $20 bet, users could face $10 in fees alone – a 50% premium before placing any wager.
Senator Warren, Ranking Member of the Senate Banking Committee, has made the issue a legislative priority. FanDuel announcement means credit card companies will no longer be allowed to scam Americans with junk fees in the majority of the sports betting market, she stated. The rest of the industry should follow suit.
FanDuel explained the rationale behind the change: Over the last few months, FanDuel has been evaluating the payment methods that we offer to customers and made the decision to remove credit cards as an option for our Sportsbook, casino and racing product in the United States.
The Senator office sent formal inquiries to major operators last week, requesting data on credit card usage and customer awareness of associated fees. Her letters highlighted that many consumers do not realize gambling deposits trigger cash advance classifications.
Industry analysts suggest the move could accelerate broader payment method reforms across the sector. Alternative options including debit cards, bank transfers, and e-wallets remain available without cash advance penalties.
