Problem Gambling

	Problem Gambling - Money Problems Radio Show (Opens in a new window. Optimized for Windows Media Player 6.4 and later versions.)
Originally aired on November 5, 2005.

Show Topic:

Problem gambling is becoming a serious problem in Canada, and an ever increasing cause of money problems.

Guests:

Douglas Hoyes and Ted Michalos are the founders of Hoyes, Michalos & Associates Inc, one of Ontario's leading personal insolvency firms. They emphasize a "fresh start" when dealing with money problems. They can be reached at www.hoyes.com or, in Ontario, at 310-PLAN (no area code required).

Show Summary:

A recent study by the University of Connecticut Health Center showed that a third of all people who seek treatment for problem gambling in Connecticut have either already filed for bankruptcy, or are in the process of filing as they enter treatment. These rates are nearly eight times higher than in the general population.

Problem gambling affects virtually every aspect of a gambler's life: from financial and employment problems, to legal, family, medical and emotional issues.

On average, bankrupt problem gamblers reported spending more than $5,000 per month gambling, versus about $2,900 per month by non-bankrupt problem gamblers. Their lifetime debt was about $112,000 versus $68,000 in the non-bankrupt group. Also, about 62% of problem gamblers who have filed for bankruptcy reported suicidal thoughts, and 21% reported suicide attempts.

The study concluded that "Compulsive gambling creates a web of problems for about one in 20 people".

The Ontario Problem Gambling Research Centre released a report stating that 35% of all provincial gambling revenues come from problem gamblers. Since the province collects $4 billion in gambling revenue that means "problem gamblers" spent (or rather lost) $1.4 billion in 2004.

When someone develops a gambling problem they often don't stop when they run out of cash. The next thing that happens is they cash out their RRSPs. Then they run up their credit cards. And then, when the debts become overwhelming, they may be forced to file bankruptcy.

Statistics Canada estimates that problem gamblers make up 0.6% of the Canadian population or almost 200,000 people. Last year over 100,000 people and businesses filed bankruptcy in Canada.

Signs of problem gambling include:

	Finding it hard to stop gambling once you start;
	Spending more money and time on gambling than intended;
	Hearing complaints from friends and loved-ones about your gambling habits;
	Planning your life around plans for gambling;
	Borrowing money to keep your gambling habits afloat.

Question of the Week:

Q. If I've gambled too much and now I have more debt than I can handle, what can I do?

A. First, you need to get help for your gambling problem. There are many organizations that can help, including Gambler's Anonymous. Your work place may also have an employee assistance program that can help.

While you deal with your gambling problem, you can also start looking for solutions to your money problems, including the following:

	Work out a debt repayment plan on your own which will include cutting your expenses and increasing your income.
	Get a debt consolidation loan. If your credit is suitable, you may qualify for a low interest bank loan that you can use to repay your higher interest credit cards and other debts.
	File a Debt Management Plan. These plans are filed by non-profit credit counsellors; you pay your debts in full over a two to five year period, and the creditors agree to waive any further interest owing.
	File a consumer proposal. A consumer proposal is a negotiated settlement where you make monthly payments to deal with your debts.
	The final option is bankruptcy. It is the last resort, but for many it is the necessary step towards obtaining a fresh start

Don't let your Money Problems overwhelm you; contact a bankruptcy expert today for more information on dealing with problems caused by gambling.