The post Brazilian Bank Federation Calls For Earlier Credit Card Ban On Gambling Transactions appeared on BitcoinEthereumNews.com.

Isaac Sidney is the president of Brazil’s Federation of Banks (Febraban). He is urging that the ban on credit card usage for gambling be enforced sooner than planned. Under Normative Ordinance No. 615, issued in April, payments for gambling using credit cards, cryptocurrencies, cash, payment slips, or checks will be prohibited, allowing only electronic money transfers. Brazil’s Central Bank must also authorize both player and operator accounts. The current schedule sets the credit card restriction to begin alongside the official launch of Brazil’s regulated gambling market on January 1, 2025. However, Sidney is advocating for immediate action, emphasizing that advancing the ban would help protect players from financial harm. “We’re highly concerned about how this could impact family finances, lead to increased defaults, and drive up the cost of credit,” Sidney told reporters, as shared by Folha. His concerns align with findings from a recent Hibou survey. It revealed that 10% of Brazilians have encountered financial difficulties due to gambling. The survey also revealed that 65% reported knowing someone facing financial strain from betting. – Advertisement – Government Efforts to Curb Illegal Gambling Payments In Brazil’s gambling landscape, the Pix payment system—a real-time transaction service regulated by the Central Bank—is widely used. To target unlicensed gambling operations, the Brazilian government has announced it will block Pix transactions to unapproved operators. Ari Celia, director of payments company Pay4Fun, believes this measure will be highly effective in limiting illegal gambling. “If any commercial bank unknowingly supports illegal gambling transactions, they’ll be required to close those accounts once notified by the Central Bank,” Celia explained. “Failure to comply could result in fines, making it unwise for banks to facilitate such payments once alerted.” Challenges for Unlicensed Operators Amid Restricted Payment Options The restriction on Pix for illegal operators poses a significant hurdle for…

---

Filed under: News - @ November 14, 2024 6:26 pm