The Virginia House of Delegates approved a bill with a 94-3 vote on Wednesday, aimed at prohibiting credit card usage in online sports betting, forwarding the legislation to the Senate.
Authored by Del. Marty Martinez, HB 515 seeks to stop the Virginia Lottery from permitting sportsbooks to take credit card deposits or process withdrawals.
The bill advanced swiftly through the House following its introduction on January 13, receiving unanimous support from the Gaming subcommittee (9-0) and the General Laws committee (21-0), then passing through a voice vote on January 27 before winning approval from the entire chamber the following day.
Martinez highlighted that the initiative aims to safeguard consumers by discouraging gambling through borrowed funds.
“Senate Bill 515 is a simple consumer protection measure,” he stated. “Allowing credit card gambling promotes wagering with money that individuals do not possess.”
He emphasized that credit cards can mask the immediate financial repercussions of losses, allowing individuals to gamble beyond their limits. Available research and regulatory insights indicate a correlation between access to credit and increased losses as well as diminished self-discipline.
Furthermore, he pointed out that the Virginia Lottery already prohibits credit card transactions for lottery purchases, suggesting that extending this policy to sports betting would be straightforward to implement.
“These regulations are clear, enforceable, and simpler to manage compared to subjective behavioral monitoring systems,” he added. “This not only minimizes financial harm but also enhances responsible gambling practices consistent with existing regulations and fosters public trust in regulated markets.”
A fiscal assessment by the Department of Planning and Budget indicated that the bill is unlikely to impact state operations significantly but may influence sportsbook earnings, though the extent remains undetermined.
Martinez noted similar laws in various states, including Iowa, Massachusetts, New Hampshire, Rhode Island, Tennessee, Vermont, and Illinois, as well as DraftKings’ decision last year to prohibit credit card usage across the nation. Legislation akin to this is also under consideration in New York and Maine, where lawmakers in Maine are referencing the recent legalization of online casino gaming as a reason to enhance payment method regulations.
This measure is part of a wider array of gaming proposals being evaluated in Virginia, which includes measures to legalize online casino gaming, establish a Virginia Gaming Commission, impose a 10% tax on fantasy sports, and expand physical casinos.