Since a 2018 Supreme Court ruling legalized sports betting beyond Nevada, 38 US states now allow wagers online, in casinos, or both, with Americans placing over $600 billion in bets to date, according to the UCLA Anderson Review.
A new study, The Financial Consequences of Legalized Sports Gambling, finds that states permitting online sports gambling have seen negative effects on residents’ finances: personal bankruptcies rose 25–30%, credit scores fell 2%, and delinquencies on credit cards and auto loans increased around 8%.
In contrast, states allowing retail-only betting experienced little to no financial harm. The research, analyzing anonymized data from 4.38 million adults, suggests online sports betting broadly erodes creditworthiness and financial stability.
