How not to do it...or is it...?

[cute fuzzy bunny]

http://www.busrep.co.za/index.php?fSectionId=565&fArticleId=3339471

Man blows $18M lottery winnings and has to borrow money to keep his house. Sounds like he had a good time screwing it up though...

 

[Leonidas]

That was hilarious. He did about what I expect my 14 year-old son would do if he won the lotto. Turn the front yard of the mansion into a race track, trash hotels with big parties, flip everybody the bird and toss ball bearings at other cars while driving down the road in the Mercedes. No, on second thought, my kid has a little more sense and class than that.

 

[haha]

That was hilarious. He did about what I expect my 14 year-old son would do if he won the lotto. Turn the front yard of the mansion into a race track, trash hotels with big parties, flip everybody the bird and toss ball bearings at other cars while driving down the road in the Mercedes. No, on second thought, my kid has a little more sense and class than that.

If I had done something like this I would be considering suicide.

Ha

 

[lazygood4nothinbum]

just another example that "outward circumstances are no substitute for inner experience."--c.g. jung

 

[Scrooge]

"It's not how much you make; it's how much you keep"

 

[Outtahere]

What an A$$, stories like that really aggravate me.

 

[Robert the Red]

There is no shortage of "won lottery, blew it all" type stories in the press and on the Web. Kind of fun to read and then think "what an idiot -- I would be smarter".

But surely there are big-time lottery winners who have managed things reasonably well. I've never seen stories about this class of person. Has anyone got any pointers?

 

[Leonidas]

I can only recall seeing one mention of a lotto winner that was positive - don't recall where I read it - but it was just a small part of a larger story about one of those high-dollar vacation clubs. The dominant media can't sell stories about people that don't make a disaster of their good luck, so it doesn't get play. Also, I think most winners now opt to hide their identities from the public. I would.

 

[Scrooge]

But surely there are big-time lottery winners who have managed things reasonably well.  I've never seen stories about this class of person.  Has anyone got any pointers?

There is a ton of pointers at Google Answers, including the following bit:

estimates show that nearly one-third of lottery winners become bankrupt

 

[wabmester]

8 lottery winners who lost their millions

 

[samclem]

From Wab's link:

"Craig Wallace, a senior funding officer for a company that buys lottery annuity payments in exchange for lump sums, agrees.

"Going broke is a common malady, particularly with the smaller winners. Say you've won $1 million. What you've really won is a promise to be paid $50,000 a year. People win and they think they're millionaires. They go out and buy houses and cars and before they know it, they're in way over their heads," he says."


So here's a guy who makes his money by facilitating the irresponsible spending patterns of these folks. It's legal, but not something I'd be proud of doing. It woud seem that most of these folks would be much better off with the $50K per year.

 

[haha]

It woud seem that most of these folks would be much better off with the $50K per year.

Likely you are correct; but for these folks it is too late for that. They have creditors breathing down their necks. They need liquidity, and they need it now.

To me, this guy didn't cause the people's problems, anymore than the doctor who treats a heart attack victim caused the heart attack, or the lawyer who represents a DUI suspect caused him to be arrested and charged.

Ha

 

[larry]

A guy in Kansas won $35mm in the lottery and has done pretty well. However, 1 year after winning, his wife died of breast cancer. He ended up marrying the nurse who cared for his dying wife and after a couple of years she now has breast cancer.

He's donated money to his alma mater and lives a quiet life, still living in Kansas and AZ.

 

[wallygator69]

Sheesh he lost 10 million pounds. I would guess that this is what Oprah has lost over the years on the Rollercoaster.

Sorry, slow day at the office, recuperating from too much fun......

New England Stinks. You have to fit a years worth of partying into 3 months. Anyone know if Ted William's liver is still available?

Myrtle beach here I come 74 Days and counting.

W

 

[Texas Proud]

From Wab's link:

"Craig Wallace, a senior funding officer for a company that buys lottery annuity payments in exchange for lump sums, agrees.

"Going broke is a common malady, particularly with the smaller winners. Say you've won $1 million. What you've really won is a promise to be paid $50,000 a year. People win and they think they're millionaires. They go out and buy houses and cars and before they know it, they're in way over their heads," he says."


So here's a guy who makes his money by facilitating the irresponsible spending patterns of these folks.  It's legal, but not something I'd be proud of doing.   It woud seem that most of these folks would be much better off with the $50K per year.

yes, they pay very little to get the money because they KNOW they need it... but since it is a low risk investment it seems like stealing... I saw one happen at my bank... the guy got something like 55% of his NPV as a payment... and was happy to get it!!!