New Senate Bills Aim To Ban Credit Cards, Push Notifications For NJ Online Casinos

In the US online casino industry, New Jersey is one of the leading markets.

While lawmakers have to be happy with the continued tax revenue iGaming is brining in the for the state, they are still looking to take legal actions to make the market as safe and responsible as they can for residents.

The New Jersey Senate currently has four bills that were recently introduced that would address concerns related to problem gambling.

Among them are two that would have some notable impact on NJ online casinos. One would prohibit the use of credit card payments, while the other would prohibit push notifications from operators.

Four Senate Bills Would Impact NJ Online Gambling

Four different bills were formally introduced to the NJ Senate on Monday. Two focused on both online sports betting and online casinos. Two other focused just on online sportsbooks.

The two that included iGaming are:

• SB 3401: Prohibits casino and sports wagering licensees from utilizing push notifications or text messages for promotional purposes.
• SB 3461: Establishes certain requirements for online gaming and online sports wagering accounts; prohibits use of credit card payments to engage in online casino games or online sports wagering.

The additional two bills that focused solely on sports betting were:

• SB 3419: Requires sports wagering licensees to adopt and publish rules governing wagering account limitations and to notify patrons when accounts are limited.
• SB 3420: Prohibits sports wagering licensee from offering incentive-based wagering to anyone utilizing responsible gaming mechanisms.

The bills have been referred to the Senate State Government, Wagering, Tourism & Historic Preservation Committee.

What Bills Mean for NJ Online Casinos

Some of the bills are more clear at what they are aiming to accomplish than others. When it comes to the two that would impact iGaming, the details are more clear.

A ban on push notifications would keep online sportsbooks and online casinos from directly sending messages to customers with current promotional offers or advertising games that might entice a player to open the app.

The credit card ban is also pretty straightforward. If this passes, customers would no longer have the option to fund their account with a credit card. Multiple online operators have already instituted their own ban on credit cards, including DraftKings.

A credit card ban is a positive step, as people funding gambling accounts with credit instead of currently available funds is a slippery slope for the consumer and the operator.

While banning credit cards could have an impact on iGaming revenue, and thus tax revenue, it would be a positive step toward keeping the industry in a more consumer-friendly light.