Posted by edyholdem
According to Gambling911, "Following in the footsteps of Mastercard, Visa has also decided to start blocking online gambling transactions (all of them). Many establishments have long gotten around these efforts through the practice of using different coding, which conceals the type of transaction occurring"
PokerStars reaction was: "PokerStars does not, nor ever has engaged in the practices of 'mis-coded' credit card transactions. We have therefore been unaffected by any crackdown by Visa or Mastercard to close down such 'mis-coded' accounts. We allow the issuing bank to decide whether the transaction should be approved or declined according to the correct coding of that transaction as 7995. The only way that PokerStars is affected by credit card declines is when issuing banks in the United States
(or indeed any other country) decide that they will decline 7995 coded transactions. In such instances it is company policy to provide the player with an alternative payment method."
According to UIGEA (The Unlawful Internet Gaming Enforcement Act), it illegal for banks to process online gambling transactions. This decision could have a huge impact on gambling industry. Of course, US citizens have others deposit options too, alternate payment services like Paypal or other e-wallets.
"This is of course just a temporary setback for those who continue offering egaming to Americans, as they offer a range of alternative payment options to credit cards, assuming the attack on recoding was anything more than an attempt to assure regulators by sending a warning shot across the bows of US-facing sites", declared Jon Parker on eGaming Review Magazine .