What's Happening?
FanDuel Sportsbook & Casino has announced a policy change that will prohibit the use of credit cards for deposits on its platforms starting March 2, 2026. This decision follows a letter from U.S. Senator Elizabeth Warren to FanDuel CEO Amy Howe, highlighting the financial burden of high fees associated with credit card transactions classified as 'cash advances.' These transactions often incur significant fees and interest, which can lead to financial difficulties for users. The policy change aligns with existing state bans on credit card deposits in Connecticut, Illinois, Massachusetts, Tennessee, and Vermont, where FanDuel operates. FanDuel is not the first to implement such a policy; DraftKings made a similar change in August 2025. The move
is part of a broader industry trend to mitigate financial risks associated with gambling.
Why It's Important?
The decision by FanDuel to ban credit card deposits is significant as it addresses growing concerns about the financial impact of gambling-related credit card fees on consumers. By eliminating credit card deposits, FanDuel aims to protect users from unexpected financial charges that can exacerbate gambling losses. This policy change could influence other operators to adopt similar measures, potentially reshaping the financial landscape of the online gambling industry. The move also reflects increasing regulatory scrutiny, as highlighted by past fines imposed on operators like DraftKings for illegal credit card transactions. The policy could lead to a shift in consumer behavior, encouraging the use of alternative payment methods such as debit cards or direct bank transfers, which may offer more transparency and lower fees.
What's Next?
As the March 2026 deadline approaches, FanDuel will likely focus on communicating the policy change to its users and ensuring a smooth transition to alternative payment methods. The company may also engage with regulators and industry stakeholders to address any concerns and ensure compliance with state laws. Other operators may monitor the impact of FanDuel's policy change and consider implementing similar measures to avoid regulatory penalties and enhance consumer protection. The broader industry may see increased advocacy for clearer disclosure of fees associated with gambling transactions, potentially leading to new regulations or industry standards.
