When sports gambling gets legalized, delinquency rates rise
American Banker
Legalized sports betting correlates with increased consumer credit delinquency rates, according to New York Fed research.Summary
Research from the Federal Reserve Bank of New York indicates that consumer credit delinquency rates rise in U.S. counties where sports betting is legalized. Three years after legalization, delinquency rates increased by 0.5 percentage points, even though only an estimated 3% of the population was placing bets. The findings suggest that sports betting can have dramatic implications for household financial stability. The effects were more pronounced when focusing specifically on the 3% of the population that gambles, with delinquency rates for this group rising by 10 percentage points. Currently, sports betting is legal in 39 states and the District of Columbia.
(Source：American Banker)