The Russian government supported the ban on rates from credit cards and proposed limiting overdrafts

Russian government approved a bill banning credit card rates, but recommended clarifying the wording and eliminating redundant provisions.

The project proposes that banks block transactions with the MCC code 7995, which is used for gambling. It also demanded that betting points be banned near microfinance institutions, but the government called this norm excessive.

The Cabinet of Ministers proposed to additionally prohibit replenishing accounts with borrowed funds from individual entrepreneurs and corporate cards, and also to consider the possibility of blocking rates made through overdrafts on debit cards.

The Unified TsUPIS supported the initiative, noting that it is banks that should determine the type of card and block transactions. At the same time, the head of the organization, Elena Sheikina, emphasized that the measure will solve the problem only partially: players will be able to use cash loans or microloans.

Market representatives believe that the effect of the ban will be minimal. Advisor to FONBET CEO Nikolai Oganezov recalled that bookmakers do not see the type of client card, and the share of credit payments is already small. Olimpbet agreed that the measure will be rather symbolic.

This is the second attempt to introduce such a ban. The previous initiative of the same senators did not receive government approval and was withdrawn.