Bank of America Glitch Causes Panic among Online Gamblers

Submitted by Gary on Thu, 2010-07-15 at 18:52

When a computer glitch in Bank of America’s system caused multiple frozen bank accounts, online gamblers who were affected worried that their gambling activities had caught up with them. Since the beginning of June 2010, online gambling has been considered illegal in the US due to the UIGEA (Unlawful Internet Gambling Enforcement Act).

The UIGEA prevents financial institutions from being able to process payment to and from online casinos. And although it has not stopped online gamblers in the US from gambling at offshore online casinos, they do have to look for casinos that accept US players and figure out a method of payment that does not violate the UIGEA.

The Bank of America glitch caused gamblers in the US to fear that the bank had caught up with their online gambling activities and had frozen their accounts while investigating. Although this was not the case, the scare has prompted many gamblers to re-evaluate whether the risk of gambling online is worth it. Some people have just decided to put off online gambling until legislation is passed in the US, whether on a federal or state by state level.

It has been challenging for federal authorities to monitor the online gambling industry because the UIGEA has many loopholes, such as alternative methods of payment. However, until the UIGEA is overthrown, they have no choice but to continue to keep an eye on online gambling activities.