The Dangers of Gambling Debt

Gambling debts can lead to emotional duress and crime.

Gambling can seem fun and lighthearted; a casual way to add spice or competition to everyday life. The pipedream that a small bet can transform ordinary citizens into millionaires typically lures gamblers into betting increasing amounts of money. But gambling debt can become dangerous, financially and otherwise. Learning the dangers of gambling debt can help you steer clear of irresponsible wagering.

Addiction

The thrill of potential windfalls is addictive, even when logic indicates that gambling and accruing gambling-related debt won't lead to financial solvency. Gamblers with household incomes below $10,000 typically bet three times more than gamblers with household incomes exceeding $50,000 in lotteries, according to Overcoming Gambling. The American Psychological Association reports that gambling can be as addictive as alcohol or drugs, leading to ever-increasing debt that takes a financial toll on gamblers.

Snowball Effect

Gambling debt can have a dangerous snowball effect when gamblers realize they're deeply in debt, imagining that the only way that they'll be able to get out of debt is to gamble more in the hopes of winning more money. Gamblers keep hoping for a big win that will resolve their gambling debts, only making the problem worse. This creates a cycle as gamblers hope to regain lost money by scoring a big win; this usually leads to more gambling debt. As of February 2011, the average gambling debts for male problem gamblers range from $55,000 to $90,000, according to Overcoming Gambling. Young gamblers who start out gambling in college may watch debt accrue over decades, crowding out their chances of healthy finances.

Crime

The danger of gambling debt is that desperate gamblers may turn to crime to obtain more money for gambling to alleviate debt, or to pay down gambling-related debt. According to Overcoming Gambling, 65 percent of problem gamblers commit crimes related to their gambling habits. Gamblers may begin to associate with unsavory characters, including shady bookies or individuals fronting loans for gambling at exorbitant interest rates, making it nearly impossible to repay debts and introducing possibilities of violence or crime. Debts from illegal gambling may be tied to narcotics or loan sharking.

Emotional

Emotional problems represent another danger of gambling debt. Problem gamblers have a divorce rate double that of non-gamblers, according to Overcoming Gambling. One in five problem gamblers may attempt to commit suicide because of problems related to gambling, including debt. Because some gamblers incur debts via Internet gambling, their accumulating debt may remain a secret from friends and family members for some time; this results in increased emotional duress.

References

• Overcoming Gambling: Gambling Facts and Statistics
• eCollegeTimes.com; The Dangers of Gambling Often Go Unrecognized; Kavitha Sundralingam; October 22, 2009
• Street Directory; Beware of the Danger of Gambling Addiction; Bill Urell
• Purdue University: Current Student-Athletes