Illinois Bans Credit Card Payments for Sports Wagering Accounts

In a move to reinforce responsible gambling practices, the Illinois Gaming Board (IGB) has formally approved a proposal that prohibits the use of credit cards to fund online sports betting accounts. The decision, announced during the Board’s April 24, 2025, meeting, is aimed at addressing concerns surrounding compulsive gambling and mounting personal debt among bettors.

The newly adopted regulation—described by IGB Administrator Marcus D. Fruchter as “a justified and impactful advancement in Illinois sports wagering”—still requires final approval from the General Assembly’s Joint Committee on Administrative Rules (JCAR), which will conduct a public comment period before implementation. If passed, Illinois will become the seventh state in the U.S. to enforce such a ban, joining the ranks of Iowa, Massachusetts, and Tennessee.

Credit Card Restrictions Gain Momentum Across States

While credit card funding for casino and video gaming has long been disallowed under Illinois regulations, the new rule specifically targets sports betting—a market that has seen substantial growth since legalization in March 2020. At that time, Illinois was one of 14 states to authorize sports wagering. Today, the practice is permitted in 40 states, with evolving policies reflecting growing concerns over problem gambling.

Fruchter emphasized the rationale behind the rule change, citing emerging research that links credit card restrictions to reduced rates of compulsive gambling. “There is a growing body of recent research showing that restrictions on credit usage to fund wagering accounts encourages responsible gambling and mitigates the harms of compulsive gambling,” he said. “Problem gamblers are particularly at risk and studies have shown an often-problematic willingness for compulsive gamblers to use credit cards to place bets.”

Illinois Gaming Expansion Continues

The April meeting of the IGB also saw the adoption of additional rule changes intended to modernize and increase the transparency of gaming operations statewide. One such measure allows all 17 licensed Illinois casinos to offer cashless wagering. This policy permits patrons to use digital wallets or casino accounts to place bets, withdraw or deposit electronic credits, and cash out remaining funds. The new digital infrastructure will be governed by existing consumer safeguards, including the prohibition on credit card use, anti-money laundering measures, age verification, and the state’s Self-Exclusion Program.

Additionally, the Board approved enhanced record-keeping requirements for video gaming sales agents and brokers. These changes align their obligations with those of other gaming licensees and aim to uphold transparency and regulatory compliance.

Licensing and New Developments in Illinois Gaming

The IGB’s April session also included several licensing approvals. A total of 339 Level 2 and Level 3 occupational licenses and four Level 1 occupational licenses were granted within the casino industry. Another 177 occupational licenses were issued for sports wagering activities. In the video gaming sector, approvals were given to 91 gaming location applicants along with licenses for 40 terminal handlers and four technicians.

Further underscoring Illinois’ commitment to gaming expansion, the Board celebrated a milestone on April 18 with the opening of the state’s 17th casino and its first racetrack casino—known as a racino—at Fairmount Park in Collinsville. The facility has already paid $9.7 million in licensing and gaming position fees, contributing to the roughly $400 million in upfront fees collected since 2021. These funds are allocated to the Rebuild Illinois infrastructure initiative.

Ongoing Oversight and Player Protections

While reviewing and updating regulations, the IGB continues to stress the importance of player protection and ethical gaming standards. Fruchter stated that the new policies reflect the agency’s effort to “identify and evaluate potential rules, procedures and practices for either modification or adoption to best accommodate changes in gaming and ensure that Illinoismaintains high levels of ethics, innovation, competition, integrity, compliance, safety, and success.”

Players are urged to engage only with licensed operators and to be wary of illegal gambling devices and websites that mimic legal platforms. The IGB maintains a public directory of licensed sportsbooks, casinos, and video gaming venues on its website.

The IGB’s next scheduled meeting will be held on June 5, 2025.

Source:

Illinois Gaming Board (IGB) Adopts Proposed New Rules including a Prohibition on Using Credit Cards for Sports Wagering among Other Regulatory Measures at April Meeting, illinois.gov, April 25, 2025