Image Image Image




Post new topic Reply to topic  [ 10 posts ] 
Author Message
 Post subject: Enforcement of UIGEA
PostPosted: Sun Feb 07, 2010 11:41 pm 
Offline
PokerAI fellow
User avatar

Posts: 7731
Favourite Bot: V12
Basically, credid card operators have until June 1st to block all gambling transactions (This was postponed from December). I've read lately that now VISA and Mastercard are blocking deposits to Poker sites, I wonder if this is a news, or it was always like this ...

http://www.egrmagazine.com/news/514868/confirmed-visa-declining-us-egaming-payments-too.thtml wrote:
THE CRACKDOWN on US online gambling credit card payments that began on Wednesday is being operated by Visa as well as rival US credit card giant Mastercard, EGRmagazine.com has now confirmed, with tens of thousands of US online gamblers likely to have been affected.

As reported yesterday, US-facing operators were hit by an overnight tightening of restrictions on the use of credit cards for egaming transaction ahead of the implementation of America’s Unlawful Internet Gambling Enforcement Act (UIGEA) law on 1 June, which bans the facilitation of online gambling by banks and other payment companies.

The action was at the time of writing confirmed as applying to US-registered cards issued by Mastercard, but rumours that a crackdown had also been launched by Visa had not been substantiated. However eGaming Review has now confirmed that these too are subject to the ban.

Repeated attempts to use a US-registered Visa card by an eGaming Review reporter on PokerStars last night were declined, with the American poker giant sending an email in response that read:

“Status: DECLINED.

“Your credit card transaction has been declined. If your credit card information was entered correctly and you have sufficient funds, your transaction was probably declined due to Internet gaming restrictions set by your credit card issuer.”

Other sites likely to have been hit by the action will include PokerStars arch rival FullTilt and US sports betting giant Sportsbook.com, which yesterday announced that it will leave the Cake Poker network to join that offered by Ireland's Merge Gaming.

UIGEA was originally supposed to have been enforced from 1 December 2009, although the US treasury later approved a delay allowing companies until 1 June this year to comply.

_________________
indiana


Top
 Profile E-mail  
 
 Post subject: Re: Enforcement of UIGEA
PostPosted: Wed Feb 10, 2010 12:27 am 
Offline
Senior member
User avatar

Posts: 356
Favourite Bot: OpenHoldem
I thought stars pretty much never accepted american credit cards. As far as I can tell, it will be hard to legally block checks or wire transfers though.


Top
 Profile E-mail  
 
 Post subject: Re: Enforcement of UIGEA
PostPosted: Fri Jul 30, 2010 10:50 pm 
Offline
Senior member
User avatar

Posts: 131
Looks like UIGEA may be coming to an end:

http://www.guardian.co.uk/business/2010/jul/30/online-gambling-united-states

Anyone from the USA know any more or have a view?

_________________
http://www.pokerspreadsheets.com


Top
 Profile E-mail  
 
 Post subject: Re: Enforcement of UIGEA
PostPosted: Fri Jul 30, 2010 11:10 pm 
Offline
PokerAI fellow
User avatar

Posts: 7731
Favourite Bot: V12
Seems like a matter of time to finally get the legislation. Thou:

Quote:
When might any of this happen? It's an interesting bet. "Don't listen to anybody who tells you they know the timeline of a piece of US legislation," warns one industry expert.


Also from the same article:

Quote:
that PartyGaming and its Austrian-based rival Bwin are to merge in a deal which they say will create the world's biggest publicly listed online gambling group, worth $3.3bn.


So Ongame merging wirh Party?

_________________
indiana


Top
 Profile E-mail  
 
 Post subject: Re: Enforcement of UIGEA
PostPosted: Fri Jul 30, 2010 11:58 pm 
Offline
Senior member
User avatar

Posts: 458
Location: Now in the mighty PolarBoar variant!
Favourite Bot: ...
Also, the big question is, how much will the games be taxed? If it's additional few percent rake for Uncle Sam like in some European countries, it could be very hurtful.


Top
 Profile  
 
 Post subject: Re: Enforcement of UIGEA
PostPosted: Sat Jul 31, 2010 12:22 am 
Offline
Senior member
User avatar

Posts: 251
Favourite Bot: The Crushinator
I've been following this although most of the information is also on 2+2
* Party and ongame are probably merging but it seems totally unrelated to this bill
* UIGEA has been pretty weak - main difference is that the gift cards & prepaid visas that used to work stopped working
* The bill has only passed committee but the fact that it passed bipartisanly is a good thing. The bill has not been scheduled for a full floor vote. It seems most likely that the bill, if it comes to the floor at all, would be considered during the lame-duck session at year's end.
* There's no fencing-off the US population or establishing a per-pot government rake. Instead there will be a tax on deposits by American players and the licensing requirements will allow international sites to operate in the US. Additionally, US-based gaming corporations (Harrah's, Wynn, etc.) would be licenseable (but as these companies have no software experience I would expect major fail in their systems). Pokerstars has hinted that the tax as it is (2% I think) would be low enough that they would not even require the player to pay it, instead eating the cost and making it up in rake later. Reduced transaction costs would probably make up for this increase in costs due to the tax making it a net no change for them. Overall this is a huge plus for winning players as under this system is the losers that pay all the taxes.
* Companies that are found to have facilitated illegal gaming in the US will not be licenseable. This will be a big problem for Bodog since they also have sports betting which is definitely illegal. Tilt/Stars/Cake/UB have an uphill battle since they do permit poker in places such as Washington where it is nominally illegal (though there are no efforts to enforce the law). Companies that pulled out of US market after UIGEA will be in the clear, probably even though UIGEA didn't actually make anything illegal, it seems even the Congress doesn't understand their own laws (nothing new there). Probably, even companies disqualified by the rule will do something with shell companies to get around the requirement so it likely means nothing.
* Nobody knows what will happen in the Senate or on the full House floor. It's a likelihood that the final bill will have more modifications before it gets finally passed, and some of those modifications might be unpleasant.
* Obama is likely to support the bill based on campaign comments that he felt online poker should be legal.


Top
 Profile E-mail  
 
 Post subject: Re: Enforcement of UIGEA
PostPosted: Sat Jul 31, 2010 10:22 am 
Offline
Senior member
User avatar

Posts: 131
psilon,

thanks very much for the helpful update.

_________________
http://www.pokerspreadsheets.com


Top
 Profile E-mail  
 
 Post subject: Re: Enforcement of UIGEA
PostPosted: Sat Jul 31, 2010 12:54 pm 
Offline
PokerAI fellow
User avatar

Posts: 2342
Favourite Bot: My next one
psilon wrote:
* Party and ongame are probably merging but it seems totally unrelated to this bill

I think I read Bwin and Party were merging as companies, right ?


Top
 Profile E-mail  
 
 Post subject: Re: Enforcement of UIGEA
PostPosted: Sat Jul 31, 2010 8:56 pm 
Offline
PokerAI fellow
User avatar

Posts: 7731
Favourite Bot: V12
Yes, Ongame is now owned by bwin AFAIR.

@psilon - Thx for the summary!

_________________
indiana


Top
 Profile E-mail  
 
 Post subject: Re: Enforcement of UIGEA
PostPosted: Sun Aug 01, 2010 6:29 pm 
Offline
Senior member
User avatar

Posts: 251
Favourite Bot: The Crushinator
Update: Turns out the tax on deposits is actually 8%. 2% goes to the US government, 6% goes to the state or Indian reservation the depositor is a resident of. This is to encourage states not to opt out of the bill. 8% is still an OK amount IMO.


Top
 Profile E-mail  
 
Display posts from previous:  Sort by  
Post new topic Reply to topic  [ 10 posts ] 


Who is online

Users browsing this forum: No registered users and 1 guest


You cannot post new topics in this forum
You cannot reply to topics in this forum
You cannot edit your posts in this forum
You cannot delete your posts in this forum
You cannot post attachments in this forum

Search for:
Jump to: