Gugny Posted July 11, 2017 Share Posted July 11, 2017 https://www.washingtonpost.com/news/dc-sports-bog/wp/2017/07/11/livan-hernandez-who-made-53-million-over-17-seasons-files-for-bankruptcy/?utm_term=.5a5bb2efeddc 42-years old. Played 17 seasons and made $53 million. Currently worth less than $50,000 and filed Ch. 13. When I say this is a sad story, I'm not being facetious. Should leagues be responsible for providing financial guidance to those getting out of the game? Should it be the Players' Unions? Neither or both? Personally, I think it's something the unions should negotiate with the leagues to provide these guys with some guidance/assistance. I don't know what, if anything, currently exists. But this is very sad. Link to comment Share on other sites More sharing options...
Royale with Cheese Posted July 11, 2017 Share Posted July 11, 2017 I believe, not certain, but believe the league provides them with resources to help with financial planning. You can lead a horse to water..... Link to comment Share on other sites More sharing options...
TheElectricCompany Posted July 11, 2017 Share Posted July 11, 2017 (edited) Quick read on what the NFLPA provides: https://www.sportsfinancial.org/the-nfls-financial-advisory-program/ My employer sure doesn't care about how I spend & save my money, yours probably doesn't either, so they are certainly the exception to the norm. In a perfect world, financial literacy would be a foundation of high school education, not employer's responsibilities. I'm not sympathetic to these stories. Edited July 11, 2017 by TheElectricCompany Link to comment Share on other sites More sharing options...
eball Posted July 11, 2017 Share Posted July 11, 2017 This stuff always astounds me...you'd think that once you get down to that final $1-2M you might actually take a step back and re-assess. Link to comment Share on other sites More sharing options...
Royale with Cheese Posted July 11, 2017 Share Posted July 11, 2017 Quick read on what the NFLPA provides: https://www.sportsfinancial.org/the-nfls-financial-advisory-program/ My employer sure doesn't care about how I spend & save my money, yours probably doesn't either, so they are certainly the exception to the norm. In a perfect world, financial literacy would be a foundation of high school education, not employer's responsibilities. I'm not sympathetic to these stories. me either....it's pretty ridiculous how you can spend that much money in that short of time. Link to comment Share on other sites More sharing options...
teef Posted July 11, 2017 Share Posted July 11, 2017 i'm pretty sure that now they receive financial help right after they're drafter and have that first big "rookie meeting". i suppose if you've come from a place where you've never had to worry about finances, and suddenly you have a pile of money in front of you, it can be a disaster. have you ever seen the stories how terrible some lottery winner wind up? on the same note, the money is not quite as sudden as the lottery. you get it very quickly, but i think these guys are pretty aware they they'll get drafted, and should start to really think about the future while still in college. we all know the nfl career is short. if these guys can't plan for it, it's on them. Link to comment Share on other sites More sharing options...
Royale with Cheese Posted July 11, 2017 Share Posted July 11, 2017 This stuff always astounds me...you'd think that once you get down to that final $1-2M you might actually take a step back and re-assess. I feel the same way. I guess they think money will just magically appear once they get down to a certain dollar amount? Link to comment Share on other sites More sharing options...
teef Posted July 11, 2017 Share Posted July 11, 2017 This stuff always astounds me...you'd think that once you get down to that final $1-2M you might actually take a step back and re-assess. i think by then it's too late. large bills continue to come in, income tax, property tax, family, etc. you make look at the account and think oh ****, but by then the million or two is already accounted for. Link to comment Share on other sites More sharing options...
Royale with Cheese Posted July 11, 2017 Share Posted July 11, 2017 i'm pretty sure that now they receive financial help right after they're drafter and have that first big "rookie meeting". i suppose if you've come from a place where you've never had to worry about finances, and suddenly you have a pile of money in front of you, it can be a disaster. have you ever seen the stories how terrible some lottery winner wind up? on the same note, the money is not quite as sudden as the lottery. you get it very quickly, but i think these guys are pretty aware they they'll get drafted, and should start to really think about the future while still in college. we all know the nfl career is short. if these guys can't plan for it, it's on them. I had a friend that worked for the Wealth Management department in one of those financial firms. They had several athletes they were caring for. He told me a lot of the college kids who haven't signed that contract yet will take out loans so they can start buying cars, bling, houses etc.... Banks know these guys will have the money shortly so they give them the loan. However these loans will have around 25%-30% interest. These young kids don't know any better and all they see is if they sign this document, they receive money. Link to comment Share on other sites More sharing options...
The Poojer Posted July 11, 2017 Share Posted July 11, 2017 and that is what sucks, these kids, a great number of them do not have the background infrastructure that would have afforded them the knowledge to prepare themselves. These banks are preying on them. Sure it's incumbent upon every individual to know what you are getting into. But when you come from nothing and are all of a sudden handed the keys to the kingdom, sometimes you don't stop and assess everything. I wouldn't want to be in their positions. I am certain I would make equally bad decisions. I had a friend that worked for the Wealth Management department in one of those financial firms. They had several athletes they were caring for. He told me a lot of the college kids who haven't signed that contract yet will take out loans so they can start buying cars, bling, houses etc.... Banks know these guys will have the money shortly so they give them the loan. However these loans will have around 25%-30% interest. These young kids don't know any better and all they see is if they sign this document, they receive money. Link to comment Share on other sites More sharing options...
Gugny Posted July 11, 2017 Author Share Posted July 11, 2017 and that is what sucks, these kids, a great number of them do not have the background infrastructure that would have afforded them the knowledge to prepare themselves. These banks are preying on them. Sure it's incumbent upon every individual to know what you are getting into. But when you come from nothing and are all of a sudden handed the keys to the kingdom, sometimes you don't stop and assess everything. I wouldn't want to be in their positions. I am certain I would make equally bad decisions. Exactly. Which is why I absolutely feel bad for these guys. Link to comment Share on other sites More sharing options...
teef Posted July 11, 2017 Share Posted July 11, 2017 I had a friend that worked for the Wealth Management department in one of those financial firms. They had several athletes they were caring for. He told me a lot of the college kids who haven't signed that contract yet will take out loans so they can start buying cars, bling, houses etc.... Banks know these guys will have the money shortly so they give them the loan. However these loans will have around 25%-30% interest. These young kids don't know any better and all they see is if they sign this document, they receive money. that doesn't shock me. any loan that isn't officially backed up by some sort of equity tends to be super high interest. i don't feel bad for any of these guys, but at the same point, i grew up with a father who was an accountant, and a family member that was a big financial planner in the area, so i was educated on this nonsense early on. hell, i still ask my dad for advice. it's a constant learning process. Link to comment Share on other sites More sharing options...
TheElectricCompany Posted July 11, 2017 Share Posted July 11, 2017 (edited) These banks are preying on them. After you turn 18, there are no shortages of opportunities, or willing participants, to bury yourself in debt, work like a dog for pennies or be sent to a 120 degree desert to get your legs blown off. We need to do a better job of educating folks to make better personal, financial and professional decisions. When there are distressed and broken individuals all over the country sleeping under highways and begging for enough change to buy a sandwich or cup of coffee, I am not sympathetic to the troubles of professional athletes who earned millions and squandered it all. Edited July 11, 2017 by TheElectricCompany Link to comment Share on other sites More sharing options...
Royale with Cheese Posted July 11, 2017 Share Posted July 11, 2017 that doesn't shock me. any loan that isn't officially backed up by some sort of equity tends to be super high interest. i don't feel bad for any of these guys, but at the same point, i grew up with a father who was an accountant, and a family member that was a big financial planner in the area, so i was educated on this nonsense early on. hell, i still ask my dad for advice. it's a constant learning process. My dad was a mechanic and was just cheap....that's why we were never hurting for money. My mom is Asian so naturally, I'm good at math. Link to comment Share on other sites More sharing options...
Gugny Posted July 11, 2017 Author Share Posted July 11, 2017 My dad was a mechanic and was just cheap....that's why we were never hurting for money. My mom is Asian so naturally, I'm good at math. And video games? But not driving? Link to comment Share on other sites More sharing options...
Canadian Bills Fan Posted July 11, 2017 Share Posted July 11, 2017 This stuff always astounds me...you'd think that once you get down to that final $1-2M you might actually take a step back and re-assess. This. CBF Link to comment Share on other sites More sharing options...
Royale with Cheese Posted July 11, 2017 Share Posted July 11, 2017 (edited) And video games? But not driving? Big Nintendo player when I was a kid. Then I didn't play much video games until the PS2 came out when I was in college. I have a PS3 now but only one game. Battlefield 4 that came out like 5 years ago. I don't even know if anyone still plays this game. Edited July 11, 2017 by Teeflebees Link to comment Share on other sites More sharing options...
teef Posted July 11, 2017 Share Posted July 11, 2017 My dad was a mechanic and was just cheap....that's why we were never hurting for money. My mom is Asian so naturally, I'm good at math. when you say cheap, you mean slutty...right? Big Nintendo player when I was a kid. Then I didn't play much video games until the PS2 came out when I was in college. I have a PS3 now but only one game. Battlefield 4 that came out like 5 years ago. I don't even know if anyone still plays this game. what the !@#$ is all this? Link to comment Share on other sites More sharing options...
Gugny Posted July 11, 2017 Author Share Posted July 11, 2017 My dad was a mechanic and was just cheap....that's why we were never hurting for money. My mom is Asian so naturally, I'm good at math. Are you a Pegula??? Link to comment Share on other sites More sharing options...
Augie Posted July 11, 2017 Share Posted July 11, 2017 Some of them were smart (or lucky) enough to accept deferring some of their income. Looks brilliant for a few of them now. The league and players association surely have all kinds of resources, but you can't MAKE them play it smart. My wife worked for one of the major banks that had a division geared specifically for professional athletes, but it was tough going because agents, relatives, etc. had their hooks so deeply into them. Link to comment Share on other sites More sharing options...
Recommended Posts