Key Takeaways
- Effective March 31, BetMGM will no longer accept credit card deposits, aligning with policies already implemented by DraftKings, FanDuel, and Fanatics across all US operations.
- Financial experts at Citizens JMP and Macquarie Capital project the revenue consequences will be “minimal,” referencing DraftKings’ experience showing no significant business disruption following its 2025 prohibition.
- According to Macquarie’s analysis, credit cards account for merely 10% to 20% of gambling deposit volume in the US market, with alternative payment methods like debit cards, ACH, and digital wallets absorbing the transition.
- Legislative efforts in New York, New Jersey, Virginia, and Illinois seek to codify credit card bans for online sports wagering through state law.
- Fanatics maintains it has operated without credit card deposit capabilities since its 2023 market entry as a sports betting platform.
Last week, BetMGM disclosed plans to discontinue credit card deposit functionality beginning March 31. The operator made this announcement at a Pennsylvania Gaming Control Board public session held on March 25.
At that meeting, the PGCB levied a $100,000 penalty against BetMGM for inadequate customer verification procedures. Rhea Loney, serving as Chief Compliance Officer, informed board members that the company would cease accepting new credit cards across its betting platforms.
This decision places BetMGM alongside other leading US sportsbook operators who have already implemented similar restrictions. DraftKings, FanDuel, and Fanatics have all previously eliminated credit card deposit options.
DraftKings removed credit card funding capabilities in August 2025. The operator characterized the decision as a “strategic business decision” designed to protect customers from additional transaction costs.
FanDuel implemented its prohibition in February 2026, with enforcement beginning March 2. The timing coincided with Sen. Elizabeth Warren’s correspondence to major gambling operators seeking details about credit card transaction fees.
Fanatics established a credit card-free policy from day one. According to a company representative, this approach represented a “foundational promise” integral to the platform’s 2023 launch strategy.
Financial Experts Foresee Negligible Business Consequences
Although a 2025 survey revealed that 24% of sports bettors used a credit card cash advance to place bets, industry analysts maintain the prohibition will not damage operator performance.
Jordan Bender, serving as equity research analyst at Citizens JMP Securities, informed Gambling Insider that consequences should remain “minimal.” He referenced DraftKings’ experience, where betting volume showed no meaningful deviation following its credit card restriction.
Bender characterized Citizens’ perspective on this development as “more of a headline rather than a real impact on the business.”
Sam Ghafir, holding an analyst position at Macquarie Capital, shared similar conclusions. He observed that multiple states have already prohibited credit card deposits without generating operational challenges.
Macquarie’s research indicates credit cards represent only 10% to 20% of total gambling account funding across US markets. Ghafir highlighted that these deposits typically come from novice users and recreational bettors.
He acknowledged potential modest short-term effects spanning three to six months due to added complexity for casual customers. However, the expectation remains that this transaction volume will migrate to debit cards, ACH bank transfers, and digital payment platforms.
State Legislatures Advance Regulatory Prohibitions
For gambling operators, the voluntary restriction could prove advantageous. Ghafir suggested it strengthens their position in regulatory negotiations, minimizes future compliance risks, and enhances environmental, social, and governance standings.
He referenced the United Kingdom’s experience, where total gross gaming revenue stabilized within two to three fiscal quarters following a credit card prohibition. The outcome produced higher-quality customer segments and marginally improved financial performance.
Numerous US states have already enacted legal restrictions on credit card gambling transactions. These jurisdictions include Iowa, Massachusetts, New Hampshire, Oregon, Rhode Island, Tennessee, and Vermont.
During the current legislative session, New York, New Jersey, Virginia, and Illinois have proposed legislation prohibiting credit cards for online sports betting or casino gaming activities.
In Virginia, Del. Marty Martinez’s HB 515 received approval from both legislative chambers. Gov. Abigail Spanberger has not yet provided her signature. A comparable measure awaits action from Maine Gov. Janet Mills.
BetMGM’s elimination process commences today, March 31, blocking new credit card additions to customer accounts. The operator intends to systematically remove credit card funding functionality throughout its entire platform network.
Get 3 Free Stock Ebooks
Discover top-performing stocks in AI, Crypto, and Technology with expert analysis.
- Top 10 AI Stocks - Leading AI companies
- Top 10 Crypto Stocks - Blockchain leaders
- Top 10 Tech Stocks - Tech giants
