Concern Over Sites Offering Cash for IDs to Open Betting Accounts

Consumer groups in the UK are warning cash-strapped Brits to beware of a growing trend in websites offering easy money in return for copies of users’ personal identification documents.

These documents, such as passports, driving licenses, and proofs of address, are then used by gamblers to open multiple online betting accounts.

Sam Richardson, deputy editor of consumer publication Which? Money, advises “extreme caution” when dealing with such sites.

We would not recommend people handing over personal information […] to unfamiliar firms that can spend money on your behalf,” he told The Guardian newspaper.

“Anybody who does want to sign up to this agreement should discuss it with their bank first to ensure it is not in conflict with any of the bank’s terms and conditions.”

The Guardian contacted one such site, Moneyful.co.uk, this week. The site promised to pay its users £100 (US$124) in return for use of their ID, plus an additional £100 for anyone they refer to the scheme. The site claimed to use sophisticated computer software to make money from betting companies.

The Guardian speculates that Moneyful uses matched betting, where gamblers open multiple accounts with betting sites to exploit the sign-up bonuses they offer, a practice known as “bonus abuse” in the online gambling industry.

The newspaper stated in its article that this practice is not illegal – although that’s probably not the case.

In April 2023, gambler Jon Howard was sentenced to five years in prison by a UK court for fraud after he was found to have opened more than 1,000 Bet365 accounts so he could claim the bonuses. He used the ID documents of willing participants to make a profit of around £236,000 (US$295,000), according to court documents.

There is no evidence that Moneyful and sites like it are guilty of bonus abuse. Winning professional sports bettors often see their accounts closed by online sportsbooks and need access to “clean” accounts simply to get their bets on, which are usually in high volume.

Lawyers for Moneyful told The Guardian it was “perfectly fair to say that there are risks in handing personal data to any organization” but added there was nothing illegal about the operation.

No efforts whatsoever have been made to hide anything from the public,” the lawyers said. “Our client pays corporation tax and is registered for VAT [UK sales tax]. It has a Trustpilot score of 4.3 on the basis of 67 reviews (and is consequently categorized as ‘excellent’).”

They also took issue with the suggestion that consumers should be wary of companies offering “passive income,” pointing out that “a stocks and shares ISA [a tax-free investment account] is a form of passive income.”

Despite Moneyful’s lawyers giving a good account of the company, its website had been taken down Friday and was listed for sale by the domain name registrar.