Your Guide to High-Risk Gaming & Competition Payment Processing in 2026
Struggling to secure reliable payment processing for your gambling or game of skill business? You’re not alone.
With brands such as Omaze, 7 Days Performance and Nitrous Competitions offering hundreds of thousands of pounds in prizes, it’s easy to see why entrepreneurs are increasingly launching online competition and gaming platforms.
The industry has seen rapid growth since the COVID lockdowns, with more consumers shifting away from physical casinos and betting shops towards online gaming and prize competitions.
However, alongside this growth has come increased scrutiny from governments, acquiring banks and card schemes such as Visa and Mastercard. Many gaming businesses now face tighter controls, higher fees, rolling reserves or outright rejections when trying to secure merchant accounts.
In this guide, we explain how gambling and game of skill payment processing works — and how you can secure the right high-risk merchant account for your business.
Why Gambling and Game of Skill Payment Processing Is Considered High Risk
Gambling and competition businesses are classified as high-risk by acquiring banks due to:
- Increased chargeback and refund exposure
- Regulatory oversight around gambling harm and addiction
- Licensing and jurisdiction requirements
- Reputation and compliance concerns
As a result, many mainstream payment providers are hesitant to support the sector, particularly for online platforms.
While in-store gaming and retail activity is often viewed as lower risk, online gaming merchants face far greater scrutiny around:
- Age verification
- marketing compliance
- card scheme rules
- transaction monitoring
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Game of Skill Competition Compliance Requirements
Game of skill and competition websites have become extremely popular across the UK and EU, offering prizes such as:
- Cash rewards
- Electrical goods
- Beauty products
- Holidays
- Cars and luxury items
- Machinery and high-value equipment
From a payment processing perspective, acquiring banks typically require several compliance measures before approving merchant accounts.
Common requirements include:
- A clearly displayed free postal or free entry route, or a genuine skill-based question
- Transparent terms and conditions explaining entry mechanics
- Proof that prizes are purchased in advance or funds are reserved to cover prize costs
- Clear refund and cancellation policies
For high-value prizes such as vehicles, watches, holidays or property, banks may also require:
- proof of ownership
- purchase invoices
- authenticity documentation
Getting these elements in place early significantly improves approval success.
Legal Opinions for Game of Skill Businesses – Are They Still Required?
Historically, many acquiring banks required legal opinions to confirm that game of skill businesses were not operating as unlicensed gambling.
While this was common practice several years ago, it is now far less frequently required. Banks and payment providers have developed a clearer understanding of the game of skill model and its distinction from traditional gambling.
That said, poor website structure, unclear prize mechanics or misleading marketing can still result in classification as gambling — leading to declined applications.
Professional guidance remains highly recommended.
Banking Challenges for Gambling and Game of Skill Startups
Securing a traditional high-street bank account can be difficult for gaming and competition startups.
Major UK banks could decline applications due to perceived industry risk.
Fortunately, several digital and specialist banks are known to support gambling and high-risk businesses when introduced correctly.
Many gaming businesses also benefit from reviewing banking arrangements after six months of successful trading, as proven processing history strengthens negotiating power and provider options.
Gambling Merchant Accounts and MCC 7995 Explained
Gambling businesses are typically registered under Merchant Category Code (MCC) 7995, which covers gaming and betting activity.
Visa and Mastercard require all gambling merchants to complete annual registration — often costing over £500 per year — which is processed through the acquiring bank.
It is also important to note:
- Gambling commission licenses and fees apply for each country a business operates in
- Certain offshore licences (such as Curaçao) are now rejected by many acquiring banks
Correct licensing and classification is essential for approval.
Key Gaming Activities Covered Under MCC 7995
MCC 7995 includes:
- Bookmakers
- Casinos
- Internet poker
- Fantasy sports
- Internet bingo
- Betting exchanges
- Spread betting
- Online lottery sellers and resellers
- Prize draws
- Raffles
Accurate activity declaration is critical when applying for gambling merchant accounts.
Faster Winner Payouts with Visa Direct & Mastercard Send (OCT Payments)
Many gambling and game of skill businesses use Original Credit Transactions (OCTs) to pay winnings directly back to customers’ cards.
Using Visa Direct and Mastercard Send allows:
- near-instant payouts
- automated payment flows
- improved customer experience
- higher engagement and repeat participation
This removes reliance on BACS transfers, which typically take several working days.
For gaming platforms, faster payouts provide a major competitive advantage.
Many gaming businesses use Visa Direct and Mastercard Send to handle faster payouts directly to customers cards, helping reduce settlement time and improve user experience. Visa’s own gaming payment guide and Mastercards payment guide outlines how innovations like this are transforming play and payout flows.
How Northern Payments Helps Gambling & Game of Skill Businesses
At Northern Payments, we specialise in securing payment solutions for high-risk industries that mainstream providers often decline.
We help gaming and competition businesses with:
✅ Specialist Gambling & High-Risk Merchant Accounts
Access to acquiring banks and payment providers that actively support gambling and game of skill platforms.
✅ Compliance & Approval Guidance
Support with MCC classification, card scheme requirements, website structure and regulatory expectations.
✅ Banking Solutions for Gaming Startups
Introductions to digital and specialist banks proven to support high-risk sectors.
✅ Faster Payout & Automation Options
Implementation of Visa Direct and Mastercard Send for instant customer winnings.
If you would like a free review of your gambling or game of skill payment setup, our team is happy to advise on the best solutions for your business.
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