Chargeback: refunds from grey online casinos

For partnership agreements of Russian banks with online casinos, companies can be fined by the Central Bank and even lose their work permit. NES experts told how in case of failure to return money from an investment in an unscrupulous office, which gambling operations are legal in the country and what should be avoided.

A chargeback is the very process of obtaining finances if the payer has been the victim of fraud or the service agreement has been breached on several counts. The cardholder of the transaction may appeal under IPS rules, the card bank then submits an application to the acquirer - the banking company that services the recipient of the funds. An investigation is carried out and the results will determine whether a chargeback will be made or the application will be rejected. It should be recalled that online casinos are illegal and there is also a ban on such platforms, which is constantly blocked by Roskomnadzor. Gambling industry sites continue to be sought after by players from the Russian market through ways to circumvent blocking and access restrictions. Only in 2020, restrictions on payments abroad were introduced. Thus, it is no longer possible to send money to the account of an illegal allslotsonline.casino without manipulation through standard banks and online casino offices of Russian banks.

Banks have found alternatives to combat transfers to unauthorised entities, whose accounts are sometimes difficult to trace. For example, the tax on a transaction to a grey casino or betting operation can exceed 6%. Operators may then even nullify a player's account or declare a refusal to receive funds, citing the specific structure of banks in the Russian Federation. That is, transferring money by standard methods, you can lose not only at the expense of paysafecard casinos.

The most popular methods of fraud are:

1) Increasing the number of bets for the player to receive payment

2) Minimum amount of funds for withdrawal (same system: the client's prize remains in the operator's account)

3) Long verification and its complication. Indeed, in legal casinos you have to identify yourself, but often in grey areas of virtual gambling it is a drag to delay the payment.

4) Blocking accounts

Experts from the NEC told a real-life case of a chargeback. A customer made a certain deposit with a regular Sber bank card to a grey casino and later lost the whole amount. Neither the court nor the regulator was able to help, as the site was operating illegally. The client, after sending the appropriate application to Sberbank, waited for a response under MPS rules from the acquirer bank servicing the establishment. The funds were returned as the other was servicing an illegal establishment and could not disclose its activities: this is a criminal offence for money laundering.