Charlotte Observer – Since New Jersey began Internet gambling in November, it has been difficult to use a credit card to fund an online betting account. New statistics from a company that routes those payments show just how hard it has been.
CAMS LLC told The Associated Press on Tuesday that credit cards are being accepted from New Jersey gamblers between 42 and 46 percent of the time. It receives online payments from the Borgata Hotel Casino & Spa, which has the largest share of the state’s online market, as well as from the Trump Taj Mahal Casino Resort and Trump Plaza Hotel and Casino, and routes them to financial institutions.
Matt Katz, the company’s CEO, said low acceptance of credit cards “is the single biggest thing that’s holding it back” in New Jersey.
So far this year, Internet gambling has brought in $31.6 million. The fledgling industry is growing, but not as fast as many had hoped. Gov. Chris Christie initially estimated it would bring in $1 billion in its first year, but his state treasurer recently acknowledged the numbers are coming up far short of that estimate. Wall Street analysts expect online betting to bring in about $200 million in its first year in New Jersey.
Jon Hernandez of Roselle Park was one of the first to gamble online the first morning it was legal last year. But he has yet to make a deposit using a credit card.
“I always have a problem with Visa,” he said. “They never take it. I tried to use it on three different sites and it never worked.”
Several years ago, in a ruling that led to New Jersey, Nevada and Delaware approving Internet gambling, the U.S. Justice Department said in-state Internet gambling that does not involve sports betting does not run afoul of federal law.
But despite that advice, credit card acceptance has remained low
