fbpx
Click here for the latest banking information on COVID-19

ABA calls for public views on credit card use in gambling

5 December 2019

Today the Australian Banking Association has released a consultation paper on the use of credit cards for gambling.

Banks have introduced a range of initiatives to help customers better manage their financial arrangements and mitigate harms related to problem gambling – technology solutions such as tools to help customers track their spending, customer directed blocks, trained customer support teams, referrals to support services.

The ABA is seeking views from the public on the place of a credit card and its use for gambling. Currently credit cards can be used when gambling online, however when in a gambling venue of a licenced venue or casino patrons cannot use credit cards or make ATM cash advance on their credit card.

CEO of the Australian Banking Association Anna Bligh said that banks had an important role to play in helping tackle the issue of problem gambling and were seeking feedback from the community.

“For many Australians gambling is a form of entertainment and recreation, however for some it can become a problem that potentially has devastating consequence for the individual and their family,” Ms Bligh said.

“As an industry we are currently assessing a number of options to help tackle problem gambling.

“We are seeking feedback across the community on a number of important questions, which will then help banks as they each consider further reform on this issue,” she said.

The ABA is seeking community views on the following questions:

  1. What are the risks and concerns associated with gambling with credit cards?  
  2. Should the use of credit cards for gambling be restricted or prohibited?
  3. If so, should the restriction or prohibition apply to all forms of gambling?
  4. What are the potential consequences of prohibiting or restricting the use of credit cards for gambling?
  5. Should there be a transition period if banks choose to implement changes relating to credit cards?

For a copy of the consultation paper click here. Submissions on the topic are due by March 4, 2020. Submissions can be emailed to submissions@ausbanking.org.au. The ABA requests that submissions make use of empirical evidence as far as possible. A survey option is also available on the ABA website here.  

ENDS
Contact: Rory Grant 0475 741 007


Where credit cards can be used for gambling

Current state (based on current regulatory requirements)
Online and betting apps (facilitated by Tabcorp and Responsible Wagering Australia members)Credit cards – Yes
In February 2018 the Federal Government prohibited online gambling operators from offering credit to gamblers as part of the National Consumer Protection Framework for Online Wagering
Poker machines (in clubs and licensed venues)No credit cards or access to cash advances through ATMS in gambling areas (see appendix 1 for details)
CasinosNo
High roller rooms in casinosCasinos extend lines of credit from their own credit facilities to their customers in VIP rooms, but they do not provide credit cards in those areas
On-track – horse racing and greyhound racingNo credit cards or access to cash advances through ATMS in venue
Lottery tickets/online and in-venueCredit cards – Yes
TAB outletsCredit cards – No

Latest news

1 / 3
Op-Ed
Efficient and Responsible: Getting the Lending Balance Right
25 November 2020

Access to credit opens up opportunities and fulfills aspirations. Getting it right requires the right balance between consumer protections and the flow of credit.

Read more
Transcript
TRANSCRIPT: ABA CEO Anna Bligh on ABC Radio’s AM 18 November “a chance to get back on their feet”
18 November 2020

Interviewed by AM’s Peter Ryan, ABA CEO Anna Bligh talked about the substantial drop in loan deferrals since their peak during the pandemic, falling from 900,000 to 300,000.

Read more
Media Releases
Majority of deferred loans back on track
17 November 2020

The number of deferred loans has fallen below 300,000 – a reduction of almost 70% since the peak earlier this year.

Read more