is it legal in States that dont allow gambling?

In theory no, but completely unenforced. Apparently Antigua has launched a complaint against the US with the World Trade Organisation, complaining that the wire act is hindering the poker businesses based there. Thus making them ever reliant on tourism. America may be pushed toward officially legalising it.



Molina

if I owed them money? How easy is it for them to collect? being out of the U.S. and it supposebly not being legal. Can they report to credit agencies and what have you

Online gambling is completely legal in the US. What is not legal is to run an unlicensed gambling business on US soil. Plain and simple. But there is nothing at all illegal about using gambling venues outside US jurisdiction.

The complaint with the WTO is a pre-emptive strike against certain US factions who are trying to find ways to either restrict it or make it illegal.

Your debt is a legal debt, and they can legally collect it if they so choose. In practicality, however, they're not going to get much help in their effort to collect. But yes, it would show up on your credit record if it's reported to credit agencies.

Actually Flafishy there are several states that have specifically outlawed online gambling. On the Federal level the Justice Dept. maintains that it's illegal under the wire act, but that issue hasn't been tested in courts (and the wire act only mentions horse racing and says nothing of other gambling).

The bottom line is you are not safe from prosecution, but no one has been prosecuted as of yet for being a participant in online gaming.

The WTO ruling was narrowed on appeal to include only horse racing -- basically, since you can legally bet on horses over the internet inside the US, you should be able to bet on horses outside the US. Other internet gambling within the US is still illegal, so the WTO isn't compelling the US to allow foreign gaming.