|Monday, March 20, 2006|
|Banks single out betting transactions|
In light of the liberalisation of the online gaming market in the UK, banks and credit card issuers are introducing new arrangements. In the future, online gamblers will have to pay an additional fee and higher interest rates.
Other banks and credit card issuers already have a ban on online gaming transactions, such as Citibank, American Express or Diners Club.
Banks justify the higher costs for online gaming transactions because they consider them not traditional purchases, but rather a sort of cash advance, to which higher rates are usually applied (between 18-22 %).
The banks’ measures are also an illustration to the ease by which internet transactions can be identified and controlled.