I won't go much into the current discussion, but it's something I think worth mentioning, be very careful when generalizing how the law works in other countries.
I can't talk about other countries but in mine (Portugal), fines (as in when you do something illegal and have to pay money in return) can only be applied by law enforcement agencies. When you talk about "fines" related to a contract breach then it really isn't a "fine", and at best falls into the category of contract breach. A contract breach results in the immediate contract termination, but to be able to receive some money and apply what you called a "fine" you will have to go to court.
If a user refuses to pay, you can send him several requests using registered mail and only after not paying can you request, at a court, that the user's assets be seized and used to pay the "fine". You'll spend more money in court and in lawyers than your users. This is one of the reasons why passing the "green lane" ( I don't really know how to translate it) at the highway toll without having a contract or not paying the highway toll is considered a crime. It's also the reason why communication companies have so much trouble getting money back when the client stops paying since is't "only" a contract breach.
As for credit cards, we have a system called mbnet, it allows me to create virtual credit cards that are attached to my debit card. I can then use the virtual card in any online store that accepts VISA or MasterCard. You won't be able to block any of my cards since they are virtual cards and can only be used once. I can create any amount of virtual credit cards I want and I can do it online with a few clicks.
MyEmail {l Wrote}:1. Overdraft fees on credit/debit cards.
2. Other monthly and annual fees on credit/debit services.
These are all contract breaches and nothing really happens to me if I don't pay, the worst thing that happens in the short term is that I stop getting the service I contracted.
MyEmail {l Wrote}:3. Monthly subscriptions with auto-renewal features.
Are limited to a time/day and amount, you won't be able to withdraw arbitrary amounts from my account and I have 5 days to cancel the transfer before you even get the money.
MyEmail {l Wrote}:5. The list goes on, and on, and on.
And it may be that in some countries you manage to penalize the hacker, but I doubt you'd have the necessary legal resources to do so easily.
My point is, if you want the fine system to work in the USA you may be able to consider all the legal aspects involved and work with that, but if you want your system to be able to be used world wide, or even if only in Europe and the USA, you'll have to spend a lot o money and time just to be able to stay legal in all the countries you're in.
As an example, I pay 99cents for the account. I start to cheat on your servers and you try to fine me, you send me a 100€ fine that I don't pay. The only way you have to force me to pay, considering that you have a legal business established in Europe (with all the costs associated with it) since I'm in Portugal, is if you go to court and that will take you more than the 100€ you will even get from the "fine" you imposed on me. The Portuguese court will take from 6 moths to a 1 year, if you're lucky, to properly process everything. I, on the other hand, will be able to create a new account in you server, with a new credit card (real or virtual) and keep on cheating.
In the end you'll spend more in legal fees and lawyers than any amount you'll be able to get from me. It's a nice way to bankrupt you
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I've only seen one cheat control system that almost worked and that was the one in WoW, and it almost works not because I have to pay anything, but because I'll loose all my characters and account information and that is worth more than most "fines" I could get.