How to Deal With Gambling Debt
When you hit the casino or the racetrack, you do so with only positive outcomes in mind.
You play to win, and when you’re winning it’s easy to feel untouchable.
But there’s one rule of gambling that nobody can escape… the house always wins in the end!
And if we keep trying to chase the high of winning, we can become blinded to the risks inherent in gambling.
As such, we can rack up considerable gambling debts, which threaten the security of our household finances.
The good news is that help is available to help you take control of your gambling debts.
Let’s take a closer look.
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The first step is acceptance
Gambling can quickly become addictive in ways that take us completely by surprise.
As comforting as denial can be, the first step to taking control of gambling debt is admitting that your gambling has become a problem.
You may benefit from a service like Gamblers Anonymous, which can give you practical tips on how best to move forward.
They can help you to identify what triggers the urge to gamble and other compulsive behaviours so that you can prevent yourself from getting deeper in the hole.
Cancel your memberships or apply for exclusion
In much the same way that a shopaholic will cut up their credit cards when their spending has gotten out of control, gamblers should next start cancelling their memberships.
Tell casinos and other establishments that you used to frequent that you’d like to cancel your membership.
You don’t necessarily have to tell them that you have a gambling problem.
But if you do, they can make it much harder for you to lapse back into your old habits.
If you apply to be excluded, this will make it impossible to reenter the establishment within a set time period.
This can be anywhere from 6 months to around 5 years.
Know your options
No matter how much you owe, or to whom, as long as your gambling debts are legitimate there are a number of options available to help you take control of your gambling debt.
Here we’ll look at some of the most common so you can start thinking about which is best suited to you.
Like any debts, gambling debts can accrue interest the longer they remain unpaid.
If you owe less than $10,000 and have only 2 or 3 creditors, you may benefit from a Credit Counselling service.
They can reach out to creditors on your behalf and help to reduce your interest paid or even write off your interest completely.
This means that you get to pay down your principal more quickly and put your gambling debts behind you faster.
If your gambling debts exceed $10,000 or you have many creditors, there are still other options available to you.
For instance, you may want to consider a Consumer Proposal.
This can not only freeze all interest on what’s owed, it can also allow you to reduce your principal by up to 80%.
Best of all, your creditors don’t have to unanimously agree to your terms.
If a 51% majority agree to the terms of your proposal they are all legally obliged to adhere to it.
You will need a Licensed Insolvency Trustee to administrate this proposal and it can remain on your credit report for up to 8 years after it’s been arranged.
Finally, if you’re unable to repay your debts, filing for Bankruptcy will allow you to write off most or all of your debts and allow you to get a fresh start.
If you need to get your creditors off your back, a Licensed Insolvency Trustee can help to ensure that your bankruptcy results in an automatic discharge which legally prevents creditors from taking any further punitive measures.
A bankruptcy will stay on your credit report for 6 years (14 if it’s not your first).
How we can help
If your gambling debts have gotten out of hand, we can help you to choose the best option to help you take control of them.
Only our Licensed Trustees can do this, and guide you through the various administrative processes that come with debt relief measures.
Since 1999, we’ve been helping people from all walks of life to escape their debts and take back control of their lives.
Call us today on (877)879-4770 to arrange a risk-free, zero-obligation and 100% confidential callback.
Information on Consumer Proposals
Consumer Proposals in Canada – An Alternative to Bankruptcy
What is a Consumer Proposal?
How to Amend a Consumer Proposal
What are the Benefits of a Consumer Proposal?
What are the Steps in a Proposal?
Consumer Proposal Eligibility
What Debts Are Erased in a Consumer Proposal?
Is There Life After a Proposal?
How to File for Bankruptcy
What is Bankruptcy?
How Does Bankruptcy Work?
What is the Cost of Bankruptcy in Canada?
How to Rebuild Credit Following Bankruptcy
Personal Bankruptcy in Canada
What Debts are Erased in Bankruptcy?