Federal lawmakers and banking officials are pushing for a ban on the use of credit cards for gambling
Brazil’s gambling market could soon face significant changes, as the Brazilian banking federation has pushed for an early ban on credit card use in online gambling. Isaac Sidney, president of Febraban, has called for the restriction to be implemented ahead of the scheduled January 2025 launch of the country’s regulated online gambling market.
The ban is part of Ordinance No. 615, published in April, which aims to limit payment methods for gambling transactions. Once the ordinance takes effect, players will no longer be able to use credit cards, cash, cryptocurrency, or payment slips for deposits and withdrawals. Only electronic money transfers, like bank transfers, will be allowed. Despite the upcoming regulation, credit card use is still permitted in Brazil’s grey market until the new rules are enforced.
Sidney expressed concern over the potential impact of continued credit card use, particularly the risks it poses to household finances. He warned that allowing credit cards for gambling could lead to increased debt and a higher cost of credit for consumers, emphasizing the need for an earlier start to the restrictions.
Pix, an instant payment system, is already the most popular method for gambling deposits in Brazil. The government has plans to block unlicensed gambling operators from using Pix and other financial services, further tightening control over the market. In addition to the payment restrictions, the ordinance will require player and operator accounts to be authorized by the Central Bank of Brazil, reducing the chances of unregulated gambling operations.
With the launch of the regulated market just months away, Brazil is making efforts to reshape its gambling landscape. Giovanni Rocco Neto, recently appointed national secretary of Sports Betting, will oversee the economic development of sports in the country while working alongside the new national gambling regulator.
