Illinois is getting closer to formally banning the use of credit cards in connection with sports betting.
Key Takeaways
- The Land of Lincoln is nearing the implementation of a ban on credit cards for funding sports betting accounts, as proposed in the Illinois Register as part of the rulemaking process.
- The ban is being proposed to reduce compulsive gambling risks, as studies show problem gamblers are more likely to use credit cards to place bets.
- Along with the credit card ban, Illinois lawmakers have introduced a new per-bet tax, prompting sportsbooks to add fees or minimum wager requirements to offset the costs.
The proposed prohibition on credit card use for sports wagering was published in the July 11 edition of the Illinois Register, one of the steps in the state's rulemaking process.
“A growing body of recent research has identified prohibiting credit usage to fund wagering accounts as a sensible and worthwhile way to encourage responsible sports betting and mitigate the harms of compulsive gambling,” the notice of proposed amendment said. “Problem gamblers are particularly at risk and studies have shown a willingness for compulsive gamblers to use credit to place bets.”
The small yet potentially significant tweak to Illinois sports betting rules looms as operators and gamblers in the state are already working their way through another considerable change.
Looks like MGM is responding to the per-wager (0.25-50 cent) tax in Illinois by raising their minimum wager to $2.50 pic.twitter.com/ZoOFZzOtvG
— Connor Allen (@ConnorAllenNFL) July 11, 2025
Namely, the recent decision by Illinois lawmakers to add a 25 to 50-cent tax on each bet placed with online sportsbooks in the state has prompted operators to try to find ways to offset the added costs.
For DraftKings, Fanatics, and FanDuel, the solution is the addition of a 25 or 50-cent transaction fee for bettors on every wager they make.
Furthermore, at least one BetMGM user in the state has reported that the online sportsbook plans to implement a minimum wager size for customers of $2.50 starting later this week. A spokesperson for Hard Rock Bet also confirmed to Covers on Monday that they have recently put a $2 minimum bet in place in Illinois.
Sign of the times
Even before the new per-bet tax was approved, though, members of the Illinois Gaming Board (IGB) voted unanimously in April to get the regulatory ball rolling on the change to rules for funding sports betting accounts.
Illinois launched legal sports betting in 2020 with credit card funding permitted. However, in reviewing its rules five years later, IGB staff determined it was time to end the practice. At least six other states have either prohibited credit card use or reversed prior permission for credit cards since Illinois sports betting launched, the IGB noted.
“Existing IGB rules already ban credit card use for casino and video gaming wagers, so the proposed rulemaking would apply a consistent approach to Illinois sports wagering,” the notice said. “If this rule is adopted and credit cards are prohibited, sports betting patrons will remain able to use ACH/debit cards to load sports wagering accounts with money they have in their bank accounts and with money that patrons actually have at their disposal.”
Members of the public now have until Aug. 25 to comment on the proposed ban on credit card payments for retail and online wagering in Illinois. The state legislature's Joint Committee on Administrative Rules will then review and potentially approve or reject the proposal.
"This restriction will also apply to casino cashless wagering accounts," the notice added.
