A bettor’s winnings could become ‘dormant’ if their sportsbook account is not used regularly

In New Jersey, Jim Bob “J.B.” Hartenstein is an avid sports bettor. He has several betting accounts opened in the Garden State. Earlier this year, Hartenstien opened an email from a New Jersey operator earlier this year. According to compliance laws surrounding internet gambling in NJ, wagering accounts that have been inactive for one year or longer are considered “dormant”. These types of accounts are then closed and any leftover funds are forwarded to the Division of Gaming Enforcement. That money is then deposited into the general state fund. 

Mr. Hartenstein didn’t have much money in that particular account. However, he is not happy with how the situation was handled. Operators are required to make a good-faith effort to try and track down the lapsed bettor. However, Hartenstein claims that he did not receive any warning before his account was declared dormant.

Why do bettors not receive an automated refund if their accounts become dormant?

For New Jersey specifically, accounts are rendered dormant if they are inactive for a year. Legislation has tried pushing for a three-year standard for dormant accounts. They’ve been unsuccessful in doing so. While these rules may seem harsh, they are stated in the terms and conditions according to Brenden Bussman. He is the managing director for B Global, a gaming, sports, and hospitality, consultancy. Bussman says that most people do not read the terms and conditions when they sign up. It’s something he thinks bettors need to start doing a better job of. He had this to say.

“If it’s your money, keep using your account, or empty it and put it into another place if you do not intend to use it. In most states, it is not hard to make a deposit to start up again.” - Brenden Bussman

Bettors like J.B. Hartenstien question why sportsbooks cannot simply transfer their unused funds back to their banks. In 2024, it’s shocking how easy it is to transfer money from your bank into a sportsbook account. It only takes a few simple taps on your screen to make it happen. Mobile sportsbooks should be able to refund the bettor, at least that’s why Hartentein thinks. Jessica Fell is the VP of regulatory fairs and compliance at OpenBet. She noted that some states can directly refund players. However, accounts that have been dormant for extended periods still getting into a grey area. If it’s three years or longer of dormancy, the sportsbook would be less inclined to issue a refund.