Casinos forcing KYC after big wins, legal or scammy?

[len01]

This kind of problem has happened frequently, but from what I know, if it happens at a reputable casino and the gambler isn't cheating, it's not a problem. On the other hand, most of the popular, reputable casinos on this forum require gamblers to complete KYC before placing a bet, or at least KYC level 1. So KYC issues are probably becoming a thing of the past.

Maybe if it happened to me at a reputable casino, I would. But if it happened at a new casino, I'd refuse to do it and forfeit my winnings.

[lovesmayfamilis]

I think the assurances that the casino does not ask for KYC are just one of the advertising moves. Big wins do not happen often, but in any casino, you can always face a request to pass KYC. Therefore, you should not be surprised; I would not rudely deal with the support, explaining to them my rights, since in any case, the choice of payment or refusal will be up to the casino. The casino is naturally not interested in a quick withdrawal of money, hoping to continue the game and thereby leaving the entire amount in their accounts. Therefore, they will ask for documents and dig into the history, hoping to catch on to an error that can be presented to the player. Is this legal? Of course not. Therefore, licensed casinos with a reputation are, one way or another, more reliable than all new casinos just starting their business.

[maydna]

That is normal. They don't want to let their money go to the gamblers. So they impose KYC on those winners and fill many requirements that feel difficult to fill. But that will not happen to reputable and trusted casinos because that means they can lose their members and be flagged as a scam casino. They should explain that in their T&C so people can read and understand the rules before they register. I don't know if that is a legal safeguard but if they don't write that in their T&C, that is abusing the rules and gamblers should not use those casinos.

[Amphenomenon]

They often have a card to use in their TOS, maybe stating they have right to change their TOS at anytime or some might state when they can request KYC from customer, which some may even say at anytime but if the customer do not go through it carefully, they won't see this and miss out thinking the casino is fully non-kyc.

Which is illegal anyhow, Casinos could write whatever they want in the ToS that doesn't mean a thing in court.
They could for example, add that in case of multiple winnings, they will only pay in cash at their home office, so if you win over 10k, you need to fly to Curacao, would that be legal just because they wrote it in their ToS?  

Yea it also depends on what the court accept but is this not depending on the region where the casino is registered?

There are schemes which they may be able to pull off under some regions which will be favorable to them and in other regions not going to go pretty well in their favor. Some go for every means to earn not just profit finding loophole and other means to get customers money acting shady/scamming to them.

[bitterguy28]

I’ve noticed some scam accusation posts against certain casinos, and there seems to be a trend here.

Some casinos advertise themselves as KYC-free, but the moment you win big, that’s when they suddenly put all the requirements on you. And it’s not just basic KYC, they ask for heavy documents like passports, and some even request bank account details.

are they not supposed to be doing this BEFOREHAND? they can’t just spring this on a customer because the customers has to be informed before they even start playing otherwise they are withdrawing information from their customers which is probably something against legality

[TopT3ns]

That is normal. They don't want to let their money go to the gamblers. So they impose KYC on those winners and fill many requirements that feel difficult to fill. But that will not happen to reputable and trusted casinos because that means they can lose their members and be flagged as a scam casino. They should explain that in their T&C so people can read and understand the rules before they register. I don't know if that is a legal safeguard but if they don't write that in their T&C, that is abusing the rules and gamblers should not use those casinos.

This identity verification process may be hectic, whereas there should be security to the system against illegal practises. The actual variation is in the manner in which the casino executes it either openly at the beginning or by concealing the rules. When a casino can be trusted, these rules are normally well outlined to limit the chances of misconception. On the other hand, when new conditions are introduced in situations where players attempt to draw winnings, then it implies unfair acts and cannot be disregarded. This vagueness can be termed as power abuse by the operator. Users will be more critical as they will only rely on the casinos that are constant and clear regarding their policies. It also reduces chances of loss and the gaming experience will not result in a feeling of being cheated or negatively affected as would occur with other games.

[GreatArkansas]

That is normal. They don't want to let their money go to the gamblers. So they impose KYC on those winners and fill many requirements that feel difficult to fill. But that will not happen to reputable and trusted casinos because that means they can lose their members and be flagged as a scam casino. They should explain that in their T&C so people can read and understand the rules before they register. I don't know if that is a legal safeguard but if they don't write that in their T&C, that is abusing the rules and gamblers should not use those casinos.

I can agree to this.

Another thing I can say is that it also depends on the terms of service of the casino platform. For sure, some users who are just signing up are not reading this. They fill out and sign up.
But for me, if this is on the terms of service of the casino platform, then for me, they have the right to ask for KYC or lock your account if you don't comply.

[joniboini]

But for me, if this is on the terms of service of the casino platform, then for me, they have the right to ask for KYC or lock your account if you don't comply.

To be fair, some ToS can be ambiguous and hard to read. That being said, if notification is what we need, they can simply put a big info saying they can demand KYC at any given time. I'm sure most users will still accept that term simply because they wanted to win and get money, but they'll still get frustrated if the demand for their data or the process is just too long and complicated to the point where it feels like they don't want to honor their winning.

[goldkingcoiner]

I’ve noticed some scam accusation posts against certain casinos, and there seems to be a trend here.

Some casinos advertise themselves as KYC-free, but the moment you win big, that’s when they suddenly put all the requirements on you. And it’s not just basic KYC, they ask for heavy documents like passports, and some even request bank account details.

So I’m wondering, is this really a legal safeguard, or are they just using it as their own policy to forfeit players’ winnings?
This is actually a serious concern. Most of us might not have reached that level yet, but what if one day we do hit it big and end up facing the same situation?

They may advertise as KYC-free but if you look into their terms and conditions, it is always the opposite. KYC-Free is just a marketing tactic.

As I understand it, casinos have to legally check who they give (large sums of) money. Otherwise they could get into big trouble with regulators when they are asked for a paper trail. It has to do with anti money-laundering and anti terrorist-funding. It would make sense for them to only do KYC for accounts that withdraw large amounts of profit rather than every account. Less work for them.

Why not just do KYC beforehand?

[Die_empty]

They may advertise as KYC-free but if you look into their terms and conditions, it is always the opposite. KYC-Free is just a marketing tactic.

As I understand it, casinos have to legally check who they give (large sums of) money. Otherwise they could get into big trouble with regulators when they are asked for a paper trail. It has to do with anti money-laundering and anti terrorist-funding. It would make sense for them to only do KYC for accounts that withdraw large amounts of profit rather than every account. Less work for them.

Why not just do KYC beforehand?

Some casinos would gladly accept offering non-KYC services. But they are forced to ask for identification because of government regulations. The government sees the casinos as a channel for money laundering and terrorist financing. Casinos also asked for KYC to avoid cheating and misuse of bonuses and other privileges. I doubt if there are any registered or licensed non-KYC casinos available in my location. Any gambler who wants to have a hassle-free gambling experience should just be ready for KYC.

[woez]

Usually, loyal players will choose a site that's KYC-free and hassle-free. But I also think this is why, before actually playing, it's best to browse their menus if it's online and we can chat with them about deposit and withdrawal mechanisms.

The incident you described is also often heard when someone wins big and requires strict verification to be able to cash out their winnings from the site. If the requirements are met and complete, it might be possible. If even one item is missing from what they ask, don't expect the funds to land in your account. They want to keep coming in and don't want to lose. It's best to avoid playing there and choose another place that is more comfortable and transparent.

[8rch7]

Some casinos would gladly accept offering non-KYC services. But they are forced to ask for identification because of government regulations. The government sees the casinos as a channel for money laundering and terrorist financing. Casinos also asked for KYC to avoid cheating and misuse of bonuses and other privileges. I doubt if there are any registered or licensed non-KYC casinos available in my location. Any gambler who wants to have a hassle-free gambling experience should just be ready for KYC.

Many casino have tos of service about non KYC if your account dominance loss than win, regulation suddenly change if you got jackpot and huge amount of winning for withdrawing all. If keep continue to play without withdraw maybe not problem your account still non KYC but if want withdraw all winning fund from usually withdrawal instant will process manual until have upload document ID. Its risk if any casino restrict user from specific country will difficult for withdrawing their fund.
I agree your ideas who ever the gamble indeed the ToS gambling site allow for non KYC but must ready for verifying document ID, read detail all regulation of casino are your country restrict or not if some time asking for KYC.