Sweden Prohibits Credit-Based Betting for Licensed Gaming Operators

The Swedish government is moving forward with its proposal to ban betting on credit, as announced by Finance Minister Niklas Wykman (M) during a press conference.

“You simply should not bet with borrowed money,” Wykman stated, reinforcing the government’s stance on responsible gambling practices.

Expanded Ban to Cover All Licensed Gaming Companies

While betting on credit is already partially restricted, the new legislation aims to extend the ban to all gaming agents and licensed operators in Sweden. The updated regulations will also prevent companies from knowingly circumventing the rules, making it a stricter and more comprehensive policy.

The government will vote on the law draft during Thursday’s meeting, with the goal of strengthening Sweden’s gambling regulations.

Creating a Safer and More Sustainable Gambling Market

The Swedish Gambling Act currently prohibits players from using credit to gamble with licensed operators. However, the government believes the existing regulations do not go far enough to protect consumers.

The current ban only applies to credit issued by licensees, leaving room for other forms of credit to be used for gambling. This loophole has contributed to a link between problem gambling and over-indebtedness, prompting the government to take action.

Key Measures in the New Legislation

The proposed law introduces several strict measures to prevent gambling with credit:

• Total Ban on Credit-Based Gambling – Licensees and gaming agents will be prohibited from offering any form of credit for gambling.
• No Credit Agreements for Gambling – Operators cannot enter agreements with credit providers linked to iGaming.
• Blocking Credit Card Payments – Gaming operators will be barred from accepting credit card payments, both online and in-store.
• Preventing Circumvention – Licensees and agents must take measures to counteract gambling with credit, using existing technology to block credit card transactions without affecting other purchases.