DraftKings Now Prohibits Credit Card Funding For Online Casinos, Sportsbooks

DraftKings has announced it will not be accepting credit cards as a source for funding accounts to its online casino and online sportsbook.

The online operator emailed its customers last week and began prohibiting the credit card option on Monday.

This move will have an impact on any New Jersey online casino players that use DraftKings Casino NJ. However, DraftKings still has a wide variety of deposit options.

Deposit Options Still Available at DraftKings NJ

In the email sent to customers, DraftKings let users know that stored credit cards will be disabled from making deposits. Should a user attempt to add another credit card in the future, that will be disabled from happening.

No need to worry about funding options if you are a DraftKings customer. Here’s the list of acceptable forms now that credit cards are now prohibited.

• ACH/e-check
• Apple Pay
• Bank/Wire Transfer
• Debit Cards
• Gift Cards
• PayPal
• Venmo

If any of these options don’t work for you, DraftKings has another option to consider. You can visit select participating retail stores to deposit real money into your online account. The DraftKings app or website will provide a barcode to scan and present to the cashier at the participating store. You then can give anywhere from $5-500 a day to deposit into the account.

DraftKings Joins Fanatics in Prohibiting Credit Cards

DraftKings isn’t the first online operator to make this move. In New Jersey, Fanatics also prohibits credit card use for gambling.

The reasoning behind the decision was stated as “consumer protection” by a DraftKings representative when issuing a statement to multiple media outlets.

“DraftKings has made the strategic business decision to remove credit cards as a deposit option for sportsbook and casino in the United States,” the representative stated. “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.”

When using a credit card to make a deposit into an online account, users could be subject to cash advance fees. If the fees aren’t paid in a timely manner, higher interest rates can be placed on the user’s credit card account.

According to DraftKings, credit card deposits were not something the majority of users utilized.

Credit Card Wagers Leads to $450,000 Fine for DraftKings

DraftKings noted that this move is unrelated to a recent fine of $450,000 it received from the Massachusetts Gaming Commission (MGC) related to credit card wagering.

The fine came as a result of DraftKings accepting 1,160 online sportsbook wagers that were funded from credit cards. The wagers took place over an 11-month period from March 10, 2023 to Feb. 14, 2024.

Those bets, which amassed to $83,667.92 in wagers were done illegally as Massachusetts has a ban against residents being able to place online wagers with a credit card.

That fine was the largest the MGC had issued to an online operator since online sports betting began in the state in 2023. Along with the fine, DraftKings was forced to issue a refund of the wagers back to 218 customers.