This article highlights key restrictions on credit card purchases, including illegal substances, adult content, gambling chips, lottery tickets, and donations. It explains the legal and risk management reasons behind these limitations and emphasizes cash as the alternative payment method. Stay informed on credit card policies to ensure smooth transactions and avoid illegal activities, while keeping up with industry updates through trusted sources.

Important Restrictions on Credit Card Purchases You Should Know

Credit cards can increase your spending options, but certain items are not eligible for purchase with them. While issuers generally support credit-based transactions, legal and security factors impose restrictions on specific categories. These rules are driven by government regulations and issuer policies that classify these transactions as high risk. Below are five categories where credit card use is prohibited.

Marijuana
Purchasing cannabis—medical or recreational—is not permitted with a credit card. Federal laws mandate cash payments for these transactions.

Legal constraints restrict credit card companies from allowing marijuana transactions. Both medical and recreational sales must be cash-only due to federal bans.

Online Adult Content
Credit cards like American Express cannot be used to buy adult content online. The industry has a high rate of disputes, leading issuers to implement restrictions to minimize risks.

Casino Chips
Using credit cards to purchase casino chips is not allowed. Major issuers including American Express and Discover explicitly ban such transactions, and Nevada law also restricts them.

These limitations are primarily due to legal and financial considerations. For these products or activities, cash remains the only accepted method. Stay updated on credit card policies by monitoring financial and legal developments.

Additional Info: Learn More About Credit Card Security

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Lottery Tickets
Buying lottery tickets with a credit card is generally not allowed. Card issuers like Discover and American Express restrict such purchases due to high risks, and some states further ban or limit credit card lottery transactions.

WikiLeaks Donations
Following the 2010 release of confidential diplomatic cables by WikiLeaks, major credit institutions such as MasterCard and Visa blocked donations. Their policies prevent support for activities deemed illegal or controversial.

In brief, certain transactions are limited with credit cards for legal and risk mitigation reasons. Cash remains essential for these purchases, and being aware of these rules helps in planning your transactions accordingly.

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