Lottery winner shares the 'embarrassing' way he lost $1 million and it's a key finance lesson for all
Winning a lottery can be a life-changing event. While some winners choose to invest or spend their money wisely, there are some who aren't so good. A lottery winner, who appeared on the radio program "The Ramsay Show" hosted by Ken Coleman and George Camel, shared how he blew through all the money and the embarrassing blunders he made along the way.
Did he actually spend all of it?
The “embarrassed” lottery winner revealed that he had won $1 million with a scratch-off ticket less than a decade ago. He was 28 then. Now at 36 years of age, he has blown through all the prize money. “Down to zero?” co-host George Kamel asked. “Yes,” the man confirmed.
The host then asked him how much money he took home from the win. The man said that he chose to take the lump sum amount and after taxes, he had about $555,000 in his bank account. The host then asked "for the benefit of the viewers" to explain how he spent all that money.
The man said since he won the lottery, he never stopped gambling in general. He spent money in casinos, sports gambling, and more. He added that he was "quite embarrassed by it".
The host then asked him if he also upgraded his lifestyle. The man said he did. He said that he bought a new car on cash, right off the bat. He also paid off his private student loan but kept the federal student loan.
The man then shared that he has taken some steps to mend his behavior. He informed me that he even signed up for Gamblers Anonymous, an addiction support group.
The host then asked the man about his current job and income. The man said that he works as a restaurant manager earning $75,000 per year and he has about $6000 in the bank. He added that he was about $29,000 in debt from two different student loans.
The host then helped the man chalk out a plan to get rid of his debt and get a financial foundation. Upon asking about his savings, the man said he managed to keep about $2,400 after paying off all the bills. So the host recommended he snowball his debt and get rid of it in less than a year, using only his savings. Camel also recommended that he build an emergency fund that would keep him from going into debt again.
However, the hosts also pointed out that he needed to address the issue of gambling. They asked him to be around people who would hold him accountable and keep him from gambling. They also advised him to delete all the gambling apps and block the websites. The hosts also suggested the man see a therapist to help him with the issue better.
This article originally appeared 1 month ago.
