Tennessee Bills To Stop Payday Loan Sportsbook Funding Pulled

• Tennessee Action 24/7 Sportsbook will still be able to take deposits through payday loans provided by their loan agency Advance Financial 24/7.
• House Bill 824 and Senate Bill 1029 that sought to stop loan agencies from being used as a method for funding sports betting accounts are now dead for 2021.
• Lawmakers in the Tennessee General Assembly still believe that having these two types of companies work together is a dangerous mix for gamblers in the Volunteer State.

NASHVILLE, Tenn. – Two bills in Tennessee that were set to change the funding methods of sportsbooks have been withdrawn. Companion bills, House Bill 824 and Senate Bill 1029 are no longer a part of the Tennessee General Assembly’s 2021 discussions. The Senate bill was pulled on Wednesday from consideration, while its House counterpart remains on the Clerk’s desk, which is just as good as being withdrawn as well.

What Was The Problem?

Tennessee Action 24/7, the mobile sportsbook that had its license revoked for a week due to fraudulent activities, receives funds from its players through Advance Financial 24/7 payday loans. Each company is under the same owner. Not only do they allow their sportsbook accounts to be funded by loans from their agency, but they also let players pay back loans with the winnings earned through bets made at their sportsbook.

House Bill 824 and Senate Bill 1029 wanted to make it so Tennessee would not allow these two kinds of businesses to be able to work alongside one another in this manner. However, lawmakers felt that the measures were not specific enough in their drafts, leading to the eventual demise of the proposals.

Tennessee Action 24/7 was also taking action 24/7 to make these bills go away, opposing them at every corner and hiring legal teams to dispute them. The legal teams for Action 24/7 have managed to get the sportsbook their license back upon its appeal in court and now they’ve gotten them another victory by helping to stop these two bills from moving forward. It’s safe to say the lawyers on their team have earned their paychecks in regards to helping the company with these two matters.

What Now?

There are still lawmakers that are creating chatter despite the bills being dead for 2021. The idea of allowing sports bettors to take out loans with interest rates that could be as high as 279.5% and pay them back with gambling winnings doesn’t sit right for the integrity or morality of the Tennessee sports betting market.

Some within the Tennessee General Assembly hope that the Sports Wagering Advisory Committee of the Tennessee Education Lottery (TEL) will be able to pull in the reins of the regulated sports betting industry. At the moment, government officials are seeking to transition the TEL and the Committee in a role reversal, where the Committee will have the final say on sports betting market decisions and the TEL will provide their input.

Currently, the TEL makes the decisions for sports betting in Tennessee and the Committee sits in on meetings to give their opinion.

News tags: Advance Financial 24/7 | House Bill 824 | Senate Bill 1029 | Sports Wagering Advisory Committee | Tennessee | Tennessee Action 24/7 | Tennessee Education Lottery | Tennessee General Assembly