Russell: Overcoming Gambling Debt

Table of Contents

Building a Better Life by Design Not Chance

At 44, Russell (not his real name) began to come to terms with his compulsive gambling, and joined a 12-step program. As he advanced in recovery, he started to take responsibility for his failed first marriage, his first Bankruptcy, and his outstanding Gambling debt.

Russell’s first marriage had ended when he was 36, with a Bankruptcy brought on by his gambling. He not only damaged his credit history, lost his house, and lost his wife – his wife was forced to declare Bankruptcy due to his compulsive gambling which impacted their joint debts.

There were no children in his first marriage, and during their divorce, his wife did not ask for alimony – so, once the Bankruptcy was completed, Russell, who was a mid-level manager, was free to spend his sizable net income as he chose.

In the intervening years, Russell’s income fluctuated between $3,000 and $4,000 net per month but he had nothing to show for it. He lived in a not-so-nice rented apartment, drove an old car, and had ever-increasing debts. All of his disposable income (and more) was spent on gambling.

Russell’s decision to break free and address his gambling problem was a difficult one, and one he took seriously.

As he moved further into recovery, Russell realized that paying off his outstanding debts was an essential step in his recovery. Knowing that he could never reasonably repay his unsecured debts on his own, Russell decided to seek the services of a Bankruptcy Trustee.

~~ ~~

During his initial appointment at David Sklar & Associates, Russell and his Estate Administrator, Cori Naron reviewed his financial situation:

7 Credit Cards Debt$15,900
Unsecured Bank Loan$1,400
Payday Loan$1,200
3 ‘Other’ Unsecured Loans$15,200
Total Unsecured Debt$33,700

 

He had $2,500 left owing on his 8-year-old car and his average income was $2,900 net per month.

Cori presented various options to Russell.

If he decided to file for a second Bankruptcy, he would be looking at a Bankruptcy period of 36 months and his monthly payments during the Bankruptcy would be at least $515 per month. Once his Bankruptcy was complete, his credit history would show his second Bankruptcy for 14 years.

If he decided to file a Consumer Proposal (and it was accepted by his creditors), he would be looking at a 60 month period with monthly payments of approximately $240. Once his Consumer Proposal was successfully completed, his credit history would show a Consumer Proposal for six to seven years.

Without the structure of a Bankruptcy or a Consumer Proposal, Russell felt he would not be able to repay his unsecured debts. After carefully reviewing all of his options, he chose to file a Consumer Proposal. David Sklar & Associates filed the Proposal and presented it to his creditors. His Proposal was accepted by his creditors, and Russell began fulfilling the terms, which included monthly payments of $240 and completion of mandatory financial counselling sessions.

At the time of this writing, Russell has three years left to go on his Proposal, continues to work on his recovery, and is building a brighter future for himself.

To protect our client’s privacy, details of this case have been altered.

Take Your First Step Towards A Debt Free Life

If you are overwhelmed by debt, call us at 1-844-962-9200 to book a FREE, confidential appointment. We will review your financial situation in detail and discuss all of your options with you. Alternatively, you can fill out the form below and our team will reach out to you. 

Share This!

Excellent
5.0
Based on 1088 reviews
safeer ahmad
Grace Cuffaro and Serena Sklar were very professional, and helpful. Highly recommend.
Mark Penones
Great and amazing people there. Positive energy and helping me throughout the process. Samycha and Beatriz help me understand. Thank you
Gay Dorilag
Nice place ang very good costumer service. Well done. Thank you so much Cori” highly appreciated and highly recommended 👍
Robert Waltho
Professional demeanorUnderstanding , knowledgeable !!
Lana Dmitrieva
Очень доброжелательны,прекрасно знают свою работу,очень внимательны
Amery Zuniga
Greatest the attention given by Jackie Stanley. Really nice and professional. Thank you.
WhiteRoad Express
Great and professional team, highly recommended.
Alex Ibarra San Gabriel
Was mainly helped by kim, very nice, and helpful. Answered all my questions and made the process easy. The whole team has my thanks
Vez Brown
Grace and Mark were very professional, knowledgeable and transparent in handling my matter, they gave me a huge sense of relief knowing that my matter is in the right hands. I would highly recommend their services if you want a seamless process.
J P
David Sklar & team, especially Kim and Hernee who assisted me in all of my documents, my friend who referred me here. It is with much love and appreciation that I express my gratitude and thankful for everything that you do in helping people. Your assistance has left me truly grateful and help me breath life after five years debt free and looking forward that day that my dreams will come true. THANK YOU so much!
js_loader
DS david skalr icon

Book your free consultation.

Call 1-844-962-9200 or fill out the form below. We’ll do the rest.

Contact Us