Massachusetts Sports Betting Just Got Complicated

DraftKings is joining the list of Massachusetts sports betting operators who will no longer accept credit cards as valid forms of payments.

The move is part of a United States-wide attempted quasi-ban on using credit to bankroll sports betting accounts. Removing the payment method is not technically required as of now. But DraftKings displacing it from their catalog of options is a clear sign that operators are taking it seriously. The move also applies to casino transactions as well.

“DraftKings has made the strategic business decision to remove credit cards as a deposit option for sportsbook and casino in the United States,” a DraftKings spokesperson said in an emailed statement to Sam Maquillan of Legal Sports Report. “The change is intended to help customers avoid cash advance fees and higher interest rates often associated with this payment method and otherwise improve the deposit experience.”

DraftKings is not alone in its decision. Fanatics and Betr no longer allow deposits for online sports betting in the United States. Other operators are expected to follow suit. And it will mark a shift that complicates Massachusetts sports betting transactions. But it is one policymakers, researchers and, now, operators deem necessary.

Massachusetts Sports Betting Regulators Have Been Pushing for This

Although the credit-card restriction/ban is a nation-wide effort, Massachusetts sports betting regulators are at the forefront of consumer-protection initiatives. As Maquillan writes:

“The move underscores a broader shift in U.S. sports betting toward limiting credit-funded play, a trend that could accelerate as more lawmakers and regulators weigh consumer protections. In July, the Massachusetts Gaming Commission fined DraftKings $450,000 for accepting more than $83,000 in credit card deposits despite the state’s explicit ban. The operator self-reported the violations and refunded money to 218 customers, citing internal miscommunication as the cause of the issue. Last year, The National Council of Legislators from Gaming States drafted model legislation that would ban the practice outright. Since then states like Illinois have adopted their own credit card bans, bringing the total number of states with bans to seven.”

While there is plenty to quibble over when it comes to sports betting in Massachusetts, the MGC employs more aggressive monitoring tactics than we see in most markets. Sportsbook fines are a fairly common occurrence. The Bay State is also among those seriously pushing for even tighter regulation of the industry.

Sports Betting Credit Card Ban is Right Up Massachusetts’ Alley

Massachusetts’ emphasis on banning credit cards fits the theme of what’s become known as the “Bettor Health Act.” Proposed by Senator John Keenan, the bill seeks to impose individual gambling limits. Supporters believe this will help address the adverse financial impact sports betting is known to have on segments of the population.

This initiative likewise calls for extension financial background checks, which would be done by sportsbooks. The goal is to ensure that bettors are not depositing or wagering above their means. Operators have largely pushed back against the idea. They argue that it requires the implementation of too many resources, and that it also is an unnecessary invasion of privacy.

On top of that, Senator Keenan and others are advocates of stricter advertising and marketing guidelines. Multiple studies point toward an overexposure to sports betting promotions among young adults, including underage demographics.

Massachusetts sports betting regulators are not alone in their views. Not every state is as actively pushing similar agendas. But places like Ohio, Maryland and Illinois already have or are trying to implement similar safeguards.

The General Population Seems to Support Credit Card Restrictions and Ban

Though operators may have mixed feelings about this shift to credit-card restrictions and bans, consumers are believed to support it. We are not just talking about Massachusetts sports betting patrons, either.

A 2024 study conducted by St. Bonaventure University and Siena Research found that 55 percent of respondents believe that linking credit cards to a sports betting account should be “forbidden.” What’s more, 79 percent of respondents actually believe the mass legalization of sports betting apps has been a “bad idea.” And finally, nearly 70 percent of those surveyed say they think federal regulation is required for legal sports betting.

Polls must always be taken with a grain of salt. They are not always representative of the entire population. But this type of research usually acts as a good barometer. Plus, the logic here is pretty foolproof. Credit cards typically charge astronomical interest rates. This is a major issue for those susceptible to gambling problems. It provides a much-too-easy path to extreme amounts of debt. Even if you count yourself as a proponent of legal sports gambling, it’s not hard to appreciate the dangers of unfettered access or the benefits of more restricted access.

So while Massachusetts sports betting isn’t going anywhere, the message seems clear: Consumers don’t want to subject themselves to the risk associated with credit card deposits. The Bay State is clearly listening. Ditto for others. More will inevitably follow suit. Seven states banning or severely restricting credit-card wagers is, in all likelihood, just the start.

Take a look at this list of the top online sportsbooks so you can find one that works for all of your sports betting needs: