DraftKings No Longer Accepts Credit Cards

DraftKings Removing Credit Cards as a Banking Method

On Thursday, DraftKings announced that it will ban using credit cards to fund sportsbook and casino accounts.

The ban will take effect on Monday, August 25, 2025. DraftKings' decision likely stems from a massive fine it received in its home state for allowing customers to make wagers using credit cards.

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Key Highlights
+ Baned: DraftKings will prohibit using credit cards to fund accounts effective August 25, 2025.
+ Strategic Decision: The company said it was a strategic decision to ban the practice on its platform.
+ Record Fine: DraftKings was fined $450,000 by the Massachusetts Gaming Commission for allowing wagers to be made using credit cards.

DraftKings Bans Credit Cards

On Monday, customers won't be able to fund their DraftKings accounts using their credit cards. Those who've already linked their cards to their accounts will have said cards disabled.

A DraftKings spokesperson told SBC America, this was a strategic business decision.

DraftKings has made the strategic business decision to remove credit cards as a deposit option for sportsbook and casino in the United States.

–DraftKings Spokesperson

The change will occur on both its sportsbook and online casino operations. Customers can still use debit cards, bank transfers, wire transfers, as well as payment platforms such as PayPal or Venmo.

Big Fines Fueled Decision

The strategic business decision likely stems from a huge fine the sportsbook recently paid in its home state of Massachusetts.

Last month, the sportsbook was fined $450,000 after allowing just over 200 customers to wager $83,667.92 using credit cards.

To be fair to DraftKings, it self-reported these issues to the Massachusetts Gaming Commission (MGC) two times. It first reported the issue, claiming to have fixed it, but a month later, DraftKings re-reported it to the MGC, claiming the fix didn't work. The company was still given a record fine despite self-reporting the issue twice.

Commissioner Eileen O'Brien called the issue "egregious."

Massachusetts is not the only state where credit card use is banned for gambling. Iowa, New Hampshire, Oregon, Rhode Island, Tennessee, and Vermont have also banned the practice.

Irresponsible Financial Behaviors

A US News Survey found that a significant number of sports bettors use credit cards to fund their gambling habits. According to Greg Garrison, who published the survey's findings, that's irresponsible financial behavior.

A credit card transaction to fund a sports gambling account is considered a cash advance to the credit card company. This distinction results in a higher interest rate, sometimes up to 30%, according to Forbes.

Make sure to check with your credit card company before you decide to fund a gambling account.