Analysts from Citizens and Macquarie Capital tell Gambling Insider that banning credit card payments should have little effect on long-term financials.
Last week, BetMGM became the latest major US sportsbook operator to ban credit card deposits.
BetMGM announced the policy shift during a public meeting of the Pennsylvania Gaming Control Board (PGCB) on March 25. During the meeting, the PGCB fined BetMGM $100,000 for insufficient know-your-customer (KYC) protocols. Chief Compliance Officer Rhea Loney and senior legal counsel Joseph Caputi attended as company representatives.
In response to a question from PGCB Chair Denise J. Smiley, Loney stated that credit card payments at BetMGM are on the way out.
Said Loney:
In the coming days, as of March 31, we will no longer be allowing credit cards, new credit cards to be added to the accounts for individuals, and it is a phasing out of credit card usage on the BetMGM platforms.”
This self-regulation is an obvious win for responsible gambling advocates, who have long argued for a ban.
Although it’s unlikely a gambling company would voluntarily change an internal policy that would negatively impact its bottom line, one wonders how the shift will affect operators. A 2025 Sports Betting Survey found nearly a quarter (24%) of respondents used a credit card cash advance to place bets.
Jordan Bender, an equity research analyst at Citizens JMP Securities, told Gambling Insider in an email that the overall impact should be “minimal.”
DraftKings stopped allowing deposits in September, and handle was not materially different in the months following the implementation. The messaging at the time was the positive impact (processing fees) was not a needle mover.”
Overall, said Bender, Citizens views the policy shift “more as a headline rather than a real impact on the business.”
Credit Ban Reduces Future Policy Risk: Macquarie
Macquarie Capital analyst Sam Ghafir told GI much the same in an email sent Monday.
Said Ghafir:
We think the impact will be quite small, particularly in the long run. Several states have already banned credit card deposits, including Massachusetts, Illinois, Iowa, New Hampshire, Oregon, Rhode Island, Tennessee, and Vermont. DraftKings and FanDuel have also banned credit card deposits. Flutter noted no material impact from removing credit card deposits during their recent earnings call.”
Macquarie estimates that credit cards fund only 10% to 20% of US gambling account deposits. He also pointed out that these deposits typically “punch above their weight,” as they tend to skew toward new users and casual bettors. Credit cards are also associated with smaller, more frequent deposits and in‑play or impulse betting, Ghafir said.
Ghafir added there could be a modest short-term impact (3-6 months) due to increased onboarding friction for some casual bettors. Ultimately, Macquarie expects most of that volume to shift to debit, ACH, and digital wallets, which are less expensive for operators due to credit card processing fees.
For operators, banning credit cards could be a net positive, he added.
From BetMGM’s perspective, this is a preemptive move that helps in regulatory discussions, reduces future policy risk, and improves ESG [Environmental, Social, and Governance] optics. In the UK, after their credit card ban, overall GGR normalized within ~2–3 quarters with cleaner cohorts and slightly better economics.”
Credit Now Banned at Most Major US Operators
BetMGM’s US credit card ban aligns its internal policy with those of FanDuel, DraftKings and Fanatics.
DraftKings instituted its credit card prohibition in August 2025, applicable across its US-facing sports betting and iGaming platforms. The company described the ban as a “strategic business decision” intended to “help customers” avoid extra fees.
FanDuel followed suit in February 2026, announcing its US credit ban would take effect on March 2.
FanDuel’s decision came less than a week after Sen. Elizabeth Warren (D-Mass.), Ranking Member of the Senate Banking, Housing, and Urban Affairs Committee, sent a letter to major sports betting operators requesting information on “abusive credit card betting fees that rip off Americans using sport-betting platforms.”
Fanatics has not allowed credit card deposits since launching as a sportsbook in 2023. A spokesperson told Gambling Insider in an email that “no credit cards” was a foundational promise.
At launch for both Fanatics Sportsbook and Fanatics Casino, credit cards were never an available deposit option. We are proud to have never accepted a wager via credit card, and we are glad the industry has followed our lead once again.”
States Also Considering Regulatory Credit Ban
While some operators have taken to self-regulation, several states are considering rules to ban credit card use for gambling.
Already, Iowa, Massachusetts, New Hampshire, Oregon, Rhode Island, Tennessee, and Vermont have legal prohibitions on credit card deposits.
So far this year, New York, New Jersey, Virginia and Illinois have introduced bills to prohibit the use of credit cards for online sports betting and/or casino gambling.
In Virginia, the Assembly and the Senate approved Del. Marty Martinez’s HB 515. However, Gov. Abigail Spanberger has yet to sign it into law. A similar bill was sent to the desk of Maine Gov. Janet Mills.
In the meantime, BetMGM will begin its credit card phase-out tomorrow, March 31.
Initially, customers will no longer be able to add new credit cards to their betting accounts. Gradually, BetMGM will eliminate credit card funding across all betting platforms.
Gambling Insider contacted BetMGM to clarify details of the phase-out plan, but did not receive a reply.
The post Credit Card Bans Have ‘Minimal’ Impact on Sports Betting Revenue: Analysts appeared first on Gambling Insider.
