BANKRUPTCIES IN EASTERN MISSOURI TAKE A JUMP

The number of bankruptcies in eastern Missouri is skyrocketing, and for the first time there appears to be a connection between failed personal finances and gambling.

So far this year, there have been more than 10,500 bankruptcies filed in eastern Missouri, up 3,000 from last year. A bankruptcy trustee who monitors some 45 new cases a day says that about five of those will involve gambling debts, usually in excess of $10,000. Just four years ago, gambling was rarely cited in bankruptcy cases. Since 1991, four riverboat casinos have opened in St. Louis.

Of course, gambling isn't the only reason for the increase in bankruptcy filings. Easy credit is usually cited as the No. 1 reason so many individuals are getting in over their heads and finding themselves unable to keep up with payments.

Another reason for the increase, some say, is that there is less of a social stigma involved. Once upon a time, those who sought protection from creditors by filing for bankruptcy had to give up most of their assets and face a future of little or no credit. Nowadays, most assets such as cars and homes are protected in bankruptcy cases, and many who have their debts erased find it easy to get credit again.

The increase in bankruptcies is a national trend, but so far this year eastern Missouri is experiencing new filings at nearly double the national rate. There have been suggestions that the bankruptcy laws need to be overhauled. Surely easy credit and access to gambling ought to figure into any review.