Online casino gambling will be affected as the charges for credit card payment have risen due to certain changes in the policies of leading banks. UK based popular bank HSBC has already imposed a hike at the interest rates in case of payment transaction in online casino, according to news source of BBC. But, the changes in bank policies are not at all particularly targeted to online casino industry, rather considered to be a general change.
HSBC bank report says that the bank is going to impose a new fee for credit card payments at online casino websites. The bank is going to increase the charge to the level of cash-advance payments. These charges will be taken from online gamblers. The new rate is going to take effect from the first of February 2007. The gamblers will need to pay higher amount in comparison to present existing rates for all telephone and online casino gambling.
The previous fee of 15.9% to 22.9% interest will rise up to 21.9% and 27.8%. This new rate has surely made online gambling a bit expensive. But, there is some relaxation for the online gamblers too. According to the new policy, no charge will be issued in case of purchasing and transactions of foreign currency. So, it seems to be mixed news for online casino fans and there will be mixed reactions.
The report also mentioned that the new rate is applied to tackle the problem of continuous bad loan. It is not actually targeted towards online casino gamblers making online payments using their credit cards. Representative of the back said that bad loans are not similar to online gambling and it is considered to be a general incident. The bank has tied up with several credit cards companies to raise the fees in online casino transactions. But, some of the companies have not made any change in the rates and customers are allowed to purchase in lower rate.
Online casino gamblers are getting some ways to avoid high interest rates in the form of alternative payment processor in the current situation. PayPal, is considered to be a popular online payment processor charging normal rates for online casino transactions. Rarely gamblers use their credit card to complete their payment, so this new policy will not create a troublesome scenario.