Bill to outlaw credit card gambling passes lower house in Australia
September saw the submission of the Interactive Gambling Amendment (Credit and Other Measures) Bill 2023. Its stated goal is the outlawing of digital currencies and any products associated with credit.
The bill's introduction sparked heated debate in parliament, and lawmakers have since proposed multiple revisions to make the legislation what it is today. Nonetheless, all failed in the end, and the measure was approved today (November 14) by both main parties in Australia.
The Australian Senate, the country's highest legislative body, will now consider the measure.
Detailed analysis of the credit card invoice
There are a plethora of other provisions in the bill that would be implemented, including the prohibition on loan goods.
Operators who choose to ignore the prohibition face severe penalties. Failure to comply with the new legislation in Australia could result in fines of up to AU$234,750 (£121,706,€139,707, US$149,722).
New authority for the Australian Communications and Media Authority (ACMA) would be bestowed upon it if the measure were to be approved. These include being accountable for punishing offenders and executing both new and current punishment requirements.
To give businesses, customers, and payment processors time to adjust to the new regulations, the government has set aside six months for the transition. Once the measure receives royal assent, this would be put into action.
Operators, advocates for harm reduction, providers of wagering and lottery services, and financial payment companies were among the several parties consulted by the government as it draughted the amendment bill.
Conforming to Australian land-based regulations
Playing at land-based venues with credit cards is already illegal in Australia. This means that using a credit card to gamble would be illegal nationwide under the proposed legislation.
The online prohibition in Australia is long overdue; the discussion surrounding it has simmered for years.
The joint parliamentary committee on financial services and corporations issued a number of proposals in November 2021. If the new law passes, these will be put into practice.
Further back in time, in December 2019, the ABA (Australian Banking Association) held a consultation regarding the use of credit cards in gaming. This also considered the role that banks can play in preventing damage to players as a result of gambling.
Following Britain's prohibition on credit card gambling in the spring of 2020, calls for action from the Australian government grew increasingly louder. A number of Australian gambling sites, including Entain, Bet365, and Betfair, have shown their support for a prohibition of this kind.
Some establishments have already banned customers from using their credit cards for gambling in preparation for a potential ban. One of these is Bank Australia, which banned gambling with its credit cards in October 2021.
More comprehensive measures to address harm caused by gaming
In an effort to reduce the negative effects of internet gambling, several measures are being considered, including a possible ban on using credit cards. The National Consumer Protection Framework is an umbrella term for a variety of initiatives.
You can self-exclude from all licensed interactive wagering service providers using BetStop, which was launched in August. Online and phone operators are also included in this. Since its launch, over 10,000 individuals have signed up for the service.
Additionally, pre-verification is now required by law in Australia. This requires operators to verify a customer’s identity when they register for an account and before they can start betting.
In addition, the government has launched evidence-based taglines to replace “Gamble Responsibly” and has implemented nationally consistent training for staff working in the sector.
