- FanDuel not accepting bank card deposits as of March 2
- DraftKings introduced in the identical coverage final August
- U.S. Senator Elizabeth Warren has been elevating the difficulty of bettors being hit by bank card charges
FanDuel Sportsbook is saying right this moment it is going to not settle for deposits by bank cards starting March 2 following within the steps of DraftKings.
A normal view of the FanDuel brand on the boards throughout an NHL sport between the Pittsburgh Penguins and the Boston Bruins in January at TD Backyard in Boston. (Picture: Erica Denhoff/Icon Sportswire through Getty Photographs)
“Over the previous couple of months, FanDuel has been evaluating the fee strategies that we provide to clients and made the choice to take away bank cards as an possibility for our Sportsbook, on line casino and racing product in the US,” the sportsbook stated. “This modification was made to enhance the deposit expertise for our clients.”
Hefty Charges and Excessive Curiosity
The difficulty comes all the way down to excessive charges and excessive curiosity sports activities bettors pay through the use of bank cards to fund their accounts for bets, curiosity of which might begin accruing instantly.
“FanDuel’s announcement means bank card firms will not be allowed to rip-off Individuals with junk charges within the majority of the sports activities betting market. These are charges that may value folks as a lot as $10 to fund only a $20 wager. The remainder of the business ought to observe swimsuit,” stated U.S. Senator Elizabeth Warren, Rating Member of the Senate Banking, Housing, and City Affairs Committee.
DraftKings Coverage
Senator Warren final week, earlier than Tremendous Bowl LX, despatched a letter to main sports activities betting firms asking for info on what she stated have been, “abusive bank card betting charges that rip off Individuals utilizing sports-betting platforms.
“Bank card transactions on sports activities playing platforms to fund wagers are virtually all the time labeled as a ‘money advance,’” wrote the Senator. “In observe, bank card firms cost a one-time payment for every money advance, usually the larger of $10 or 3-5% of the quantity superior.
“Which means clients who use their bank card to fund their account for a $20 wager would pay a $10 payment on one transaction. Individuals could also be ready to lose cash on a wager they make – however most usually are not ready to lose an additional 50% in bank card junk charges on high of their wager.”
Senator Warren Letter to Betting Firms
In her letter, the Senator requested for detailed info from betting firms on the utilization of bank cards on their platforms.
“Many customers are unaware of the prices and charges related to one of these bank card use, which might push them into monetary bother when playing,” she wrote. “Particularly, customers are reporting that they didn’t understand that utilizing their bank card to position a wager on a sports activities playing web site can be handled as a money advance and accrue extra charges and curiosity.”
