Febraban chairman says using credit card to pay for bets is a ‘tragedy’

Although profitable for many, the sports betting craze involving bets and credit card use can turn into a real “publicized tragedy.” According to Isaac Sidney, president of Febraban (Brazilian Banking Federation), using this payment method encourages excessive debt.

According to Sidney, the government should immediately ban the use of credit cards as a payment method for betting. This is because family debts increase due to gambling, and this can reach very high figures and have disastrous consequences.

In an interview with EstadaoThe president of Febraban emphasizes: “Betting with a Pix or bank card is one thing. A person will do it, but he will only use what is in his account. On the contrary, a card is a debt for the future, beyond the current financial strength. A credit card is an invitation to snowball debt.”

Regulation only in 2025

With revenues of around 100 billion rupees, according to data from the Strategy and Brazilian agency, betting is generating a heated debate between the public and the government. Law 14,790/23, approved in December 2023, introduces a series of rules for sports betting, such as the payment of taxes and the provision of information on the destination of the capital.

Sidney also says betting has a strong potential for money laundering and has called for the law to be brought forward, but the set of rules will only come into force from January 2025.

The Ministry of Finance, which is responsible for this control, will only allow bets to be placed using instant payment methods such as PIX, TED, bank cards or prepaid cards.