Zona de Azar Brasil – Brazil: Betting Houses Will Block Credit Card Payments

Brazil. – September 27, 2024 www.zonadeazar.comSome betting houses have decided not to wait for the government and will ban credit card payments for gambling starting on October 1.

Although the Ministry of Finance’s regulation establishes this ban only for January, when all the rules for this activity in Brazil will come into force, companies are taking proactive measures.

This initiative aims to address criticisms from the government, Congress, and society about gambling expenditures. Plínio Lemos Jorge, president of the National Association of Gaming and Lotteries (ANJL), commented on the gaming and betting sector’s actions.

“We will make this recommendation explicitly, even to demonstrate to government bodies and the media that this concern is ours as well,” he said.

“We believe that allowing the use of credit cards makes the situation get out of control. We are an entertainment industry. I spoke with all of our members, and 100% will follow this recommendation,” he added.

Data from the Central Bank show that in August, the monthly volume of transfers via Pix, from individuals to online betting houses, ranged between R$ 18 and R$ 21 billion.

Betting Sector Associations Call for a Meeting with Retail and the Federal Government

Retailers and banks have criticized the use of credit cards in gambling, claiming that it can lead players into debt. The regulation of online betting began in 2023, and after the law was enacted, several complementary regulations were issued on the matter.

For this reason, representative entities of the betting companies, such as ANJL and the Brazilian Institute of Responsible Gaming (IBJR), are proposing a meeting with these sectors and the Federal Government to “address concerns” and develop “concrete measures for the successful regulation” of betting in the country.

Additionally, only regulated betting houses will be allowed to operate starting in January 2025. The government will block platforms that do not request authorization from the Ministry of Finance by October 1.

This week, acting president Geraldo Alckmin also summoned officials from the Ministry of Finance, the Ministry of Health, and the Ministry of Justice to discuss the issue.

Edited by: @_fonta www.zonadeazar.com