The Importance of Checking Affordability For Gambling Sites

Until now, assessing affordability of customers has been a reactive process. In order to be proactive, operators need to know their customers early in the relationship. This requires them to monitor play activity, assess customer borrowing positions, and obtain evidence of winnings.

Currently, the gambling industry does not have a robust system for checking affordability for players. The main challenge is that individuals are often unwilling to provide financial information. However, technological tools are available that can check hundreds of thousands of consumers each day.

For example, Experian offers an affordability check tool that can help betting firms identify risks. This tool helps to identify changes in account behaviour, such as how many times a customer has logged into their account, or how much time they spend on their account. It can also show the disposable income of a player, helping operators to better understand the risk of losing a bet.

The Gambling Commission has launched an initiative to prescribe affordability assessments for gambling sites. In addition to prescribing affordability assessment limits, the Commission is also proposing to introduce a requirement for operators to conduct customer due diligence. The purpose of these checks is to prevent money laundering and gambling related harm. Find out more about KYC software benefits by visiting https://www.w2globaldata.com/regulatory-compliance-solutions-and-software/know-your-customer/

As a first screening tool, affordability checks are effective. They can identify customers who are exhibiting signs of problem gambling, and therefore are likely to be at risk. While these checks may impact sports reliant on betting industry sponsorship, they do not affect credit scores or personal privacy.