News From The Casino Scene

Some banks blocking credit card deposits in New Jersey

Some banks blocking credit card deposits in New Jersey

One unforseen problem which not many New Jersey residents were prepared for is the refusal of some banks to allow credit and debit card deposits into websites within the newly launched online gambling industry in the state, despite being fully legal and regulated by the state's Divison of Gaming enforcement.

The rigurous security and scrutiny systems used by banks nowaday to monitor and prevent deposits to online gambling and poker websites, was put in place in 2006 when a federal law called Unlawful Internet Gambling Enforcement Act (UIGEA) started cracking down on banks and merchants processing such payments. Many banks have not, or don't want to change the existing system even though gambling is now legal in New Jersey, Delaware and Nevada.

According to Joseph Pappano Sr., vice president and managing director at Vantiv Inc., a company speciliazing in processing credit and debit card transactions for online gambling companies in the beforementioned three states: "For seven years, banks have been conditioned on the ramifications and the penalties associated with accepting illegal Internet gaming transactions. Acceptance will come, but it will take time and cooperation from gambling regulators, banking regulators, online casinos, and others".

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