U.S. CitiesCity-Data Forum Index
Go Back   City-Data Forum > General Forums > Economics
 [Register]
Please register to participate in our discussions with 2 million other members - it's free and quick! Some forums can only be seen by registered members. After you create your account, you'll be able to customize options and access all our 15,000 new posts/day with fewer ads.
View detailed profile (Advanced) or search
site with Google Custom Search

Search Forums  (Advanced)
Reply Start New Thread
 
Old 07-26-2019, 10:35 PM
 
Location: S.W. Florida
2,236 posts, read 946,613 times
Reputation: 6285

Advertisements

My late father in law. As a poor child from Kentucky he plowed behind a mule. Left home at 15, moved to another state, lied about his age and got a job. After bouncing around a while at different jobs, he found something he loved and ended up staying there 53 years.

He saved his money, never spent foolishly and lived within his means. When this man died he left his wife with no debt, not even on his brand new pickup. Beautiful home paid for, and more than enough money to last his widow until she passes. As a matter of fact, we were astonished at how much money he had accumulated. Like I said, he always saved and invested his money wisely. Goes to show you that you donít need a six figure income when you harness the power of compound interest over a lifetime of saving.
Reply With Quote Quick reply to this message

 
Old 07-27-2019, 05:41 AM
 
272 posts, read 136,649 times
Reputation: 668
There was that guy who invented the Optigrab.....
Reply With Quote Quick reply to this message
 
Old 07-27-2019, 08:08 AM
 
Location: North Idaho
22,810 posts, read 28,926,951 times
Reputation: 44190
Riches to rags? There is my mother's friend who started out with a lovely condo right on the beach in a very expensive area, plus her money to live on. She invested in the stock market by using astrological charts for the companies she invested in.



Last time I saw her, she was living in a van with her SS check her only income..
Reply With Quote Quick reply to this message
 
Old 07-27-2019, 08:12 AM
 
Location: North Idaho
22,810 posts, read 28,926,951 times
Reputation: 44190
My BIL who inherited many millions and squandered most of it on high living and lost the rest by investing badly in the stock market.



He died by a police bullet in Peru as he attempted to regain his fortunes by smuggling cocaine.


His kids never learned to really support themselves because they expected to live on inherited millions. Sad for them that there wasn't so much as a penny left in the estate. They had no job skills and no inherited riches. Life can be tough to those who think that they can float through life without any effort..
Reply With Quote Quick reply to this message
 
Old 07-27-2019, 08:18 AM
 
3,526 posts, read 5,193,122 times
Reputation: 6598
I know a guy who had a very successful business for many years. Sold it and his home and moved to a sunnier climate. A place where casinos were all over. Bottom line, he lost everything to his gambling addiction and has been living in his car for 4 years. Not much hope of climbing out of it as his credit is ruined.
Reply With Quote Quick reply to this message
 
Old 07-27-2019, 08:43 AM
 
Location: Great Britain
11,831 posts, read 4,048,582 times
Reputation: 7353
Quote:
Originally Posted by celticseas View Post
We hear the opposite all the time, someone who came from a council estate/ghetto and built themselves up (though it's not as common as the sensationalized stories).

The reverse I imagine must be even more so uncommon, middle class to extremely wealthy people who later lose everything and become homeless or live in abhorrent conditions.

People say that stories like these happened in the recession but is that really true? How many of those people were stable beforehand and owned their house, car, etc...fully without being on a mortgage/loan. Can a multi millionaire who has actual million dollar assets lose everything?
In terms of the UK, the Lloyds names ofteb lost everything back in the 1990's and Gerald Ratner lost a good deal of his fortune after stating his products were crap at a a speech addressing a conference of the Institute of Directors at the Royal Albert Hall in London in 1991.

How Gerald Ratner lost $10B in 10 seconds - The Hustle

How the Names lost their shirts | Money | The Guardian

People who bested in posi schemes and those who have assets seized by authorities due to fraudulent activity have also had a significxant change in life circumstamces.

Although it could be argued that boiler room fraudsters such as Jordan Belfort should have been stopped lon ged before they accrued such personal wealth in the first place, and the same applies to ponzi schemes, which are well known pyramid schemes.

The most famous ponzi scheme in recent years being perpetuated by Bernie Madoff, who lost everything and ended up losing his liberty and is now in prison for the rest of his days.

As for his wife Ruth Madoff, and of two sons one Mark and Andrew, Mark committed suicide in 2010 and the other Andrew died of cancer in 2014, so Bernie and his wife really did lose everything. Ruth Madoff now lives in nondescript condo-complex in Old Greenwich, living in a rented one-bedroom, 989 square feet (91.9 m2) apartment.

Last edited by Brave New World; 07-27-2019 at 09:01 AM..
Reply With Quote Quick reply to this message
 
Old 07-27-2019, 08:51 AM
 
6,741 posts, read 3,791,154 times
Reputation: 13887
No. Once a person is wealthy and lives within his means, it's pert near impossible to lose it such as to be destitute. That's because having money makes it easy to make money. Stick some money in a CD and an investment account, and it wlll churn out money, even if you're unemployed.

A person can become destitute, though, if they are absolutely stupid with a problem spending more than they have (like those movie stars that go broke by buying castles and islands - of course, what they call broke is STILL wealthy by a normal person's standards), or with an addiction that eats money (gambling, heroin). But for most people, once you have the bucks, it snowballs and ensures you will always have money.
Reply With Quote Quick reply to this message
 
Old 07-27-2019, 09:38 AM
 
2,236 posts, read 765,943 times
Reputation: 5697
Quote:
Originally Posted by Brave New World View Post
In terms of the UK, the Lloyds names often lost everything back in the 1990's<snip>

How the Names lost their shirts | Money | The Guardian
Yes- that was awful. I'm in the property-casualty business and was in London around then. I was struggling with my failing marriage to a spendthrift husband and read a magazine article with all the sad stories of Lloyds names. I knew how it worked; you became a Lloyds name by investing a certain amount (maybe GBP 100,000 at the time?) and you received your share of premiums on business written by a syndicate and paid your share of losses. Problem was that you pledged your entire personal fortune to pay losses so if the premiums were inadequate to cover losses, you were on the hook. It was a bottomless pit. One woman had invested her lump-sum divorce settlement; another had been a secretary to someone at Lloyd's and as a gift he made her a Lloyds name. They ended up losing everything because the syndicates were stuck with losses on such troublesome lines as asbestos and other pollution liability.

It made my spendthrift husband look benevolent by comparison.
Reply With Quote Quick reply to this message
 
Old 07-27-2019, 10:40 AM
 
Location: equator
3,543 posts, read 1,568,293 times
Reputation: 8819
My uncle grew up on a poor farm, then went on to create the first dog-treats:
"Liv-a-snaps". He eventually sold to Alpo for 5 million back in the 60s. He died early in a flying lesson.

His son grew up a dilettante, never worked. Just hung out in "gentlemen's clubs" all his life.
Reply With Quote Quick reply to this message
 
Old 07-27-2019, 10:50 AM
 
567 posts, read 637,311 times
Reputation: 861
Former pro athles are littered with riches to rag stories. A lot of lottery winners.

There are more rich to rags stories than rags to rich.

If you are stupid with money you live life in the rags.
Reply With Quote Quick reply to this message
Please register to post and access all features of our very popular forum. It is free and quick. Over $68,000 in prizes has already been given out to active posters on our forum. Additional giveaways are planned.

Detailed information about all U.S. cities, counties, and zip codes on our site: City-data.com.


Reply

Quick Reply
Message:


Over $104,000 in prizes was already given out to active posters on our forum and additional giveaways are planned!

Go Back   City-Data Forum > General Forums > Economics
Similar Threads
Follow City-Data.com founder on our Forum or

All times are GMT -6.

© 2005-2019, Advameg, Inc. · Please obey Forum Rules · Terms of Use and Privacy Policy · Bug Bounty

City-Data.com - Archive 1, 2, 3, 4, 5, 6, 7, 8, 9, 10, 11, 12, 13, 14, 15, 16, 17, 18, 19, 20, 21, 22, 23, 24, 25, 26, 27, 28, 29, 30, 31, 32, 33, 34, 35 - Top