There’s tons of money in the form of V-Bucks and other video game currencies online, and the Consumer Financial Protection Bureau is starting to notice.
The value of video game currencies continues to grow, and financial services such as payment processing, money transfer and lending are now entering the gaming world to take advantage of this new value, the CFBP said in a new report.
While banking and financial services typically offer protections to customers – such as recourse after an unauthorized transaction – gaming services “generally emphasize a buyer beware approach,” the report said.
Purchases made by kids on games like Fortnite and Roblox often show up on unsuspecting parents’ bills at the end of the month. Georgina Munday told the BBC that her daughter spent almost £2,500 playing Roblox on the family iPad last year.
Tesco Bank initially refused Munday’s request for a refund, but changed course and apologized to Munday only after the BBC requested comment, according to the report.
In 2020, former NBA star turned ESPN analyst Kendrick Perkins announced he was “cool on Fortnite” after learning his children had racked up a $16,000 credit card bill on the game without his knowledge.
Perkins said at the time that he blamed the game — which is free — in part for getting his kids to spend real money on cosmetic items. Perkins said he had to dispute the charges on his credit card.
“I look at the video game Fortnite, like it’s fooling you,” Perkins said on ESPN. “All of a sudden they’re like, ‘Oh, the game’s free,’ but you have to buy skins and do all these other crazy things.”
Besides the risk of losing your money without recourse, the rising value of gaming assets has caused an increase in reports of hacking attempts, account theft and scams, according to the Consumer Financial Protection Bureau.
“For several years, the most popular video games have included immersive virtual worlds that offer the storage and exchange of valuable assets,” the report said. “Gaming companies have created digital marketplaces that facilitate the buying, selling and trading of these assets with limited consumer protection, which has led to potentially dangerous practices for players, including financial losses due to theft and fraud.”
Epic Games, which makes Fortnite, says any child under 13 has a spending limit of $100 per day on all games using the company’s platform, with a parental controls PIN required to make any purchases exceeding the limit. However, the policy does not apply to purchases made with in-game currency, such as V-Bucks in Fortnite.
Roblox also offers parental controls where parents can set monthly spending limits for children under 13. Players who exceed the monthly spending limit receive a pop-up and are unable to make any further purchases for the month.
businessinsider
