02/06/2018 11:54AM

JPMorgan Chase letting customers fund betting accounts with credit card

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JPMorgan Chase, the largest bank in the U.S., has begun allowing customers of account-wagering companies to use credit cards issued in the bank’s name to fund their accounts, the National Thoroughbred Racing Association announced Tuesday.

The decision by the bank, which has more than 80 million active credit-card accounts, removes a hurdle faced by some customers of account-wagering companies when attempting to deposit funds. While JPMorgan had allowed customers to use cards linked to their checking accounts for deposits, it had blocked credit-card deposits.

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Many banks began blocking credit-card deposits from account-wagering customers after Congress passed the Unlawful Internet Gambling Enforcement Act in 2006, even though placing bets over the internet on horseracing was legal. Under the legislation, banks are held liable for allowing persons to use their accounts for illegal gambling activities, and some banks placed horseracing account-wagering operations on their lists of prohibited sites to steer clear of any potential violations.

The NTRA credited Rep. Andy Barr, a Kentucky Republican who is on the Financial Services Committee, for pushing JPMorgan Chase to allow the transactions. Barr is also the co-chairman of the Congressional Horse Caucus.