Typically, the online gambler will upload funds to the online casino. Once the funds are uploaded from a personal bank account, you can play either the casino games, or place bets on other types of gambling games. Online gamblers usually place bets on sporting events like games and horse races.

Because of legality, most banks in the United States prohibit the use of their accounts or credit cards for gambling online. Online gambling sites usually reject the credit or debit cards of Americans. In addition, many fund transfer sites have also discontinued service to U.S. residents that use the service for the purpose of online gambling. The refusal to serve American citizens in gambling sites is all due to the legal status of online gambling in the states. In 2002, The United States Court of Appeals for the Fifth Circuit ruled that the Federal Wire Act prohibits the electronic transmission of information for sports betting across states lines. This includes online gambling, since online casinos can be located anywhere in the United States, and the location of the online casino is not always located in the same state of the online gambler.

In the same year (2002), the Court of Appeals also ruled that online gambling on a game of chance is not prohibited. Based on these rulings, online gambling is legal if you are betting on sporting events at online casinos that are in your state of residence. In addition, based on the ruling, internet gambling is legal if you are playing a game of chance. A game of chance is any game that is influenced by a randomizing device like dice, playing cards or a roulette wheel. Based on this, all other forms of online gambling games would technically be considered legal.

The main concern by the United States government is that people will use online casinos to commit money-laundering operations. Money laundering is a crime that aims to conceal the source or destination of money by completing fraudulent or dishonest transactions. Other concerns that have influenced the legal status of online gambling in the United States are age verification, to prevent underage gambling, federal and state tax collection and the emergence of gambling additions.

In addition to some U.S. banks and other payment processors denying use of their services for the purpose of online gambling, many advertisers will not promote online gambling sites. Based on the Wire Act of the United States Department of Justice, any advertising of online gambling may be considered “aiding and abetting.” Aiding and abetting just means that any advertiser of online gambling sites is helping those who choose to use the site in the commission of a crime like money laundering or placing sports bets across state lines. The Wire Act does not, however, apply to non-sports betting, but makes it illegal to own a sports betting operation that offers betting to American Citizens.

More recently, in June of 2007, U.S. congressional representative Robert Wexler introduced the Skill Game Protection Act. This act would legalize internet card games like poker and bridge, and also other games of skill like chess. This act has not been passed yet, and will need a lot of support from congress.

With all this being said, in the United States, there are no distinct statutes that prohibit online gambling. There are however, statutes that designate certain activities related to online gambling, as being illegal.

Sarah Harrigan is the author and owner of www.choosinganonlinecasino.com . You can visit her website for strategies and tips for winning at an online casino plus a host of other useful online casino resources from reviews to do's and dont's when gambling online.

by Sarah Harrigan

Source:http://www.articleblotter.com/