Why Using Credit for Gambling Should Generally Be Avoided

Gambling can carry financial and emotional risks, particularly when players use borrowed money. In the UK, regulatory measures have been introduced to reduce harm and promote safer gambling habits.

The Credit Card Gambling Ban

On 14 April 2020, the Gambling Commission implemented a ban on using credit cards for gambling in Great Britain. This measure followed consultations and research showing that a significant proportion of online gamblers using credit cards were at risk of problem gambling.

The ban applies to most online and in-person gambling activities, creating a “layer of friction” designed to encourage players to use only funds they already possess. This approach helps individuals avoid overspending and reduces the risk of debt accumulation. Most major bookmakers in the UK, including those operating on Scs, now comply with this restriction, while regulatory updates in Ireland are expected to introduce similar protections.

Why Borrowed Money Increases Risk

Using credit to gamble can make losses feel less immediate and more abstract. Bets placed with borrowed funds do not feel as tangible as spending personal cash, which can lead to higher spending and increased financial stress. Borrowed funds can attract high interest rates, cash advance fees, and penalties, turning a modest loss into a significant debt obligation.

For example, a £200 bet placed on credit could incur interest of 20% or more if unpaid, adding to the financial burden and exacerbating gambling-related harm.

Ongoing Challenges and Risk Factors

Even after the ban, some individuals attempt to circumvent restrictions, for instance by using multiple credit cards, overdrafts, payday loans, or offshore sites where credit payments are still accepted. These practices increase financial risk and complicate debt management, highlighting the importance of responsible gambling and affordability considerations.

Research and charitable organisations indicate that gambling with borrowed money is linked to broader harms, including anxiety, depression, relationship strain, and in severe cases, suicidal thoughts. Charities such as GamCare continue to advocate for stronger protections, including clear affordability checks, financial education, and warnings about the risks of gambling with borrowed funds.

Practical Guidance for Safer Gambling

• Only gamble with money you can afford to lose.
• Avoid borrowing funds to place bets.
• Set strict personal limits on time and money spent gambling.
• Seek advice from support organisations if gambling is becoming difficult to control.

By focusing on disposable income and risk awareness, players can reduce harm and maintain better control over their finances.