Key Highlights
- Starting March 31, BetMGM will eliminate credit card deposits for both sports wagering and iGaming products in every jurisdiction where it operates.
- This policy change aligns BetMGM with competitors DraftKings and FanDuel, both of which previously implemented similar restrictions.
- Multiple jurisdictions, including Massachusetts, Iowa, and Illinois, have already enacted legislation banning credit card funding for gambling activities.
- Proposed legislation in New York, New Jersey, Maryland, Virginia, and Maine seeks to impose similar prohibitions on credit card gambling deposits.
- Pennsylvania regulators recently imposed a $100,000 penalty on BetMGM following an investigation that uncovered inadequate identity verification protocols enabling fraudulent activity.
BetMGM has announced it will discontinue accepting credit card deposits across its entire US footprint. The declaration was made public during regulatory proceedings in Pennsylvania.
The prohibition becomes effective March 31 and encompasses all jurisdictions where BetMGM maintains licensing. Previously registered cards will be deactivated, and the platform will reject any attempts to add new credit cards.
Operating as a partnership between MGM Resorts International and Entain, BetMGM manages one of the nation’s most prominent digital gambling operations.
This strategic shift positions BetMGM alongside DraftKings and FanDuel, which have already implemented comparable restrictions on credit card funding.
DraftKings initiated its prohibition last August, citing concerns about protecting customers from cash advance charges and elevated interest rates associated with credit card gambling transactions.
The DraftKings decision followed a $450,000 sanction from Massachusetts gaming authorities. State regulations in Massachusetts explicitly forbid licensed platforms from processing credit card deposits or wagers.
FanDuel implemented its nationwide restriction in early March. The company’s Canadian platforms continue to accept credit cards without interruption.
Industry Leaders Unite Against Credit Card Gambling Funding
The alignment of the three dominant operators effectively eliminates credit card deposits from the mainstream US online gambling landscape. This transformation demonstrates mounting regulatory scrutiny and legislative momentum.
Numerous jurisdictions have already codified prohibitions against credit card gambling deposits. The list includes Massachusetts, Iowa, Illinois, Oregon, New Hampshire, Rhode Island, Tennessee, and Vermont.
Additional states are pursuing comparable measures. Pending legislation in New York, New Jersey, and Maryland specifically addresses credit card usage in digital sports wagering.
Maryland’s lower chamber unanimously approved its legislation on March 18. Virginia’s General Assembly passed House Bill 515, forwarding it to Governor Abigail Spanberger for executive consideration.
Maine’s legislature also granted final passage to legislation prohibiting credit card payments for sports betting and internet casino gaming. The measure awaits Governor Janet Mills’ decision.
Pennsylvania Imposes $100,000 Penalty Following Fraud Investigation
The deposit policy change arrives shortly after Pennsylvania officials levied a $100,000 fine against BetMGM. The sanction received approval during the state gaming board’s March session.
Regulatory investigators determined that BetMGM maintained insufficient identity verification protocols. Criminal organizations exploited these vulnerabilities to establish fraudulent accounts using stolen credentials.
The illegitimate accounts received funding through compromised financial instruments. Authorities identified four distinct criminal operations that persisted for extended periods, ranging from several months to multiple years.
Collectively, these fraudulent schemes produced over $2 million in illegal wagering activity. Pennsylvania Gaming Control Board officials indicated the violations revealed fundamental deficiencies in BetMGM’s compliance infrastructure.
Authorities emphasized that the security lapses represented systemic problems rather than isolated occurrences.
