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Author Topic: Good lottery luck can go bad fast
snopes
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Big lottery winners have filed for bankruptcy within a few years, been attacked by family members and been besieged by requests from people they didn't know.

http://www.usatoday.com/printedition/news/20060227/a_lotterycurse27.art.htm

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Spakwali
"Repaint and thin no more!"


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Given this trend, I wonder why more lottery winners don't move out of town or try to keep their winnings anonymous for a longer period of time?
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Cervus
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I have no idea why lottery winners' names and locations are publicly announced.

--------------------
"There is no constitutional right to sleep with endangered reptiles." -- Carl Hiaasen
Won't somebody please think of the adults!

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Seanette
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quote:
Originally posted by Cervus:
I have no idea why lottery winners' names and locations are publicly announced.

Probably for publicity for the lottery.

I do think it's a bad thing for the winners, though, for reasons stated earlier in the thread.

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The Phantom Phreak
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if i ever win the lottery, i wouldn't tell anyone. i'd just tell my girlfriend, my close family, and a few of my closest friends. i might post it on the internet, but only on sites where i'm completely anomnymous.

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Pogue Ma-humbug
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quote:
Originally posted by Cervus:
I have no idea why lottery winners' names and locations are publicly announced.

It's a matter of public record because they are being paid state money. Do you really want such a government entity to operate in secret?

Pogue

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mgbdriver
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quote:
Originally posted by Pogue Mahone:
quote:
Originally posted by Cervus:
I have no idea why lottery winners' names and locations are publicly announced.

It's a matter of public record because they are being paid state money.
I beleive when you claim your prize, you must sign a release allowing the lottery commission to use your name and image for publicity purposes.
Given that, if I won a large jackpot, the first thing I'd do (after turning Republican) would be to change my phone number to an unlisted one to avoid unsolicited phone calls.
I'd also get a post office box.

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Jay Temple
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quote:
Originally posted by mgbdriver:
Given that, if I won a large jackpot, the first thing I'd do (after turning Republican) ...

That would be ironic. In my experience, the people who don't think we should have lotteries (or other forms of gambling) tend to be conservative on other things as well, so I suspect they're Republicans.

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black roses 19
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This doesn't really have a WHOLE lot to do with this...I just thought I'd add:

SO's cousin won the lottery about 10 years ago or so. I believe she won somewhere around 14 million.

She invested in numerous restaurants and a couple of Harley Davidson stores, along with a few other minor things (and some in the stock market).

Her net worth is currently somewhere around 40 million.

Not everyone goes bankrupt [Wink]

If I ever win the lottery, she's the first person I'm going to.

Then again, I suppose I'd have to buy a ticket...

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Class Bravo
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quote:
Originally posted by Jay Temple:
That would be ironic. In my experience, the people who don't think we should have lotteries (or other forms of gambling) tend to be conservative on other things as well, so I suspect they're Republicans.

Well...even if the people who are against gambling are Republicans, that's a far cry from saying that *every* Republican is against gambling.
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Cervus
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quote:
Originally posted by Pogue Mahone:
quote:
Originally posted by Cervus:
I have no idea why lottery winners' names and locations are publicly announced.

It's a matter of public record because they are being paid state money. Do you really want such a government entity to operate in secret?
Many small contests say "For a complete list of winners, send a SASE to..." These winners are a matter of public record, but they're not announced on the news. I don't see why a lottery that pays millions couldn't operate the same way. Just because it's public record doesn't mean it has to be openly broadcast through the media.

--------------------
"There is no constitutional right to sleep with endangered reptiles." -- Carl Hiaasen
Won't somebody please think of the adults!

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guruwan2b
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If I recall correctly, you have a year to claim the lottery if you win. That gives you plenty of time to talk to an accountant and a tax lawyer. Take their advice, set up foundations or whatever, then claim the money.
Then buy an island, move away and let the legal guys send you your interest...

guru "and a cabana boy named Carlos.... not that I have been thinking about this a lot or anything" wan2b

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Dr. Dave
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The Washington Post magazine had an indepth article about a winner in West Virgina. I have not read it in over a year, but IIRC, it lead to a broken community, dead granddaughter, etc.

quote:
Jack Whittaker's big Powerball win cost him -- and everyone around him -- dearly

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Kathy B
Angels Wii Have Heard on High


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Each lottery is going to handle things differently. The California Lottery says
quote:
As a state agency, the California Lottery is subject to public disclosure laws that allow access to certain governmental records. Your name, the name and location of the retailer who sold the winning ticket, the date you won, and the amount of your winnings, including your gross and net installment payments, are matters of public record and are subject to disclosure. The Lottery may release additional information if legally mandated or upon your request.
This is from the Lottery Winner's Handbook which also gives tips for not getting into trouble, finding a financial advisor, and estate planning. There is even a section on "How should I handle requests for donations?"

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The plural of "anecdote" is not "data."

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diddy
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quote:
Originally posted by Cervus:
quote:
Originally posted by Pogue Mahone:
quote:
Originally posted by Cervus:
I have no idea why lottery winners' names and locations are publicly announced.

It's a matter of public record because they are being paid state money. Do you really want such a government entity to operate in secret?
Many small contests say "For a complete list of winners, send a SASE to..." These winners are a matter of public record, but they're not announced on the news. I don't see why a lottery that pays millions couldn't operate the same way. Just because it's public record doesn't mean it has to be openly broadcast through the media.
Not all lottery winners are announced. If I wn 100 bucks form a scratchoff, Its good for me, but not newsworthy. But the 200 million winner of the powerball jackpot that went on without a winner for weeks however is another story. People are interested in who wins such a large proze.

--------------------
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Communication Attempt
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I remember reading a very interesting psychological articles about people who suddenly acquire a large fortune,wether through lottery,inheritance or sudden success at their business and they have no clue on how to manage such a large amount of cash and end up losing it all.

It makes sense.We know there's already a lot of people who don't know how to manage money at all,and despite what people like to believe,winning the lottery doesn't change that.They still make the same mistakes except on a larger scale.

--------------------
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Errata
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quote:
Originally posted by Cervus:
quote:
Originally posted by Pogue Mahone:
quote:
Originally posted by Cervus:
I have no idea why lottery winners' names and locations are publicly announced.

It's a matter of public record because they are being paid state money. Do you really want such a government entity to operate in secret?
Many small contests say "For a complete list of winners, send a SASE to..." These winners are a matter of public record, but they're not announced on the news. I don't see why a lottery that pays millions couldn't operate the same way. Just because it's public record doesn't mean it has to be openly broadcast through the media.
If a big jackpot was won, don't you think the media would cough up a stamped self addressed envolope to see who it was?

I think the publicity from winners does more to get people to play the lottery than the fear of publicity does to keep people from playing it. I think most people feel that if they won millions of dollars, it would be worth tolerating people knowing about it.

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Pseudo_Croat
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Suppose I won the lottery tomorrow. What tips and tricks could you folks give me on how to manage my new-found wealth wisely and not lose it all?

- Pseudo (wants to do the right thing in good times and bad) Croat

--------------------
"At all events, people who deny the influence of smaller nations should remember that the Croats have the rest of us by the throats." - Norman Davies, Europe: A History

God wants spiritual fruits, not religious nuts.

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guruwan2b
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PC, see Kathy B's link above.

--------------------
Too much of this navel gazing and we'll disappear up our own arses.
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Lainie
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quote:
Originally posted by Class Bravo:
quote:
Originally posted by Jay Temple:
That would be ironic. In my experience, the people who don't think we should have lotteries (or other forms of gambling) tend to be conservative on other things as well, so I suspect they're Republicans.

Well...even if the people who are against gambling are Republicans, that's a far cry from saying that *every* Republican is against gambling.
Some liberal groups, especially liberal religious groups, oppose lotteries as exploitation of the poor. The Ohio Council of Churches and the United Methodist Church have opposed the lottery in Ohio. I'm not saying all their members are Democrats, but they are hardly socially conservative groups.

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Grand Illusion
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quote:
Originally posted by Lainie:
Some liberal groups, especially liberal religious groups, oppose lotteries as exploitation of the poor. The Ohio Council of Churches and the United Methodist Church have opposed the lottery in Ohio. I'm not saying all their members are Democrats, but they are hardly socially conservative groups.

I can kind of see where the lottery would be seen as exploitation of the poor. While I have no hard evidence to support this, from what I've heard, the lottery attracts a much larger amount of poorer people than wealthy. Donald Trump et al "gamble" by investing and by going to Vegas or Monte Carlo. They just don't have the same interest in lottery as unskilled moneymakers.

--------------------
There are 10 types of people in the world: those who understand binary and those who do not.

"Are you pondering what I'm pondering?" - The Brain

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Class Bravo
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One of my favorite quotes of all time from The Onion:

"The Lottery. It's like a stock market for poor people."

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mgbdriver
Little Sales Drummer Boy


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quote:
Originally posted by Pseudo_Croat:
Suppose I won the lottery tomorrow. What tips and tricks could you folks give me on how to manage my new-found wealth wisely and not lose it all?

Send half of it to me and I'll look after it for you.

--------------------
"Chuck E. Cheese called. They want their band back."

my blog
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Pseudo_Croat
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quote:
Originally posted by guruwan2b:
PC, see Kathy B's link above.

I looked at it. The advice seems so... stuffy and hard to understand. Also, it seems like it's more trouble than it's worth, hiring all those bureaucrats.

I'd rather be poor or well-off.

- Pseudo_Croat

--------------------
"At all events, people who deny the influence of smaller nations should remember that the Croats have the rest of us by the throats." - Norman Davies, Europe: A History

God wants spiritual fruits, not religious nuts.

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Ana Ng
Let There Be PCs on Earth


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PC, I'd guess that hiring the bureaucrats is the main way to protect your investment if you come into money. I'm gonna go out on a limb here and say that people who are plus into gambling are probably prone to easy come easy go. The main problem cited seems to be a lack of perspective on the volatile nature of wealth and how much you can spend and remain wealthy.

I'm not a gambler, though I did dig Mohegan Sun and would like to go to Vegas, and I hardly ever play the slots. When I have won, I leave the casino floor immediately because I can't bear to put it back in. My mom is the opposite- she always pours her money right back into the casino.

I imagine that many lottery winners are the type that really like that gambling thrill, so they just get high from a massive win and go nuts. Are you that type?

In any event, if I were to be handed a decent amount of cash, I would definitely visit a professional. At the least, they can set it up so you can invest it and draw from it over time, which is always advisable.

Does that make sense?

--------------------
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Electric Shadow
I'm Dreaming of a White Sale


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My mother used to own a gift shop, and she had a regular customer who was keeping a big lottery win secret. She found out because after the 'anonymous winner' hubbub was in the paper, the barber next door took to jokingly asking every customer 'So, are you going to share your lottery win with me?' Scared the crap out of him the day one responded 'How the hell did you find out?'

From the horror stories, it sounded like he had the right idea. He was totally at a loss what to do with it- his kids were bludgers, so he didn't want them to have it, and he quite liked his life how it was. He just left the money in his bank account to be someone else's problem when he died.

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RLobinske
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quote:
Originally posted by Class Bravo:
One of my favorite quotes of all time from The Onion:

"The Lottery. It's like a stock market for poor people."

Reminds me of a quote from columnist Bob Morris:

"The lottery is a voluntary tax on stupidity."

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Grand Illusion
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"Gambling" was originally an old Indian word that meant "bad at math."

--------------------
There are 10 types of people in the world: those who understand binary and those who do not.

"Are you pondering what I'm pondering?" - The Brain

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Rebochan the Retail Reindeer
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quote:
Originally posted by Pseudo_Croat:
Suppose I won the lottery tomorrow. What tips and tricks could you folks give me on how to manage my new-found wealth wisely and not lose it all?

- Pseudo (wants to do the right thing in good times and bad) Croat

Well now, good thing you asked! Just sign it all over to me so I can manage it properly in Swiss bank accounts with my name on them. I promise I won't steal it all and spend it on video games. Isn't that so much easier?

--------------------
"One original thought is worth a thousand mindless quotings." -- Diogenes

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Ophelia123
I'm Dreaming of a White Sale


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I saw a TLC special once on lottery winners... most were fairly average people who were still living fairly average lives. Maybe taking more vacations than the average joe, but living in a maybe slightly upgraded house for their area, and just enjoying themselves.

But there was one guy...

He walked through his house, and it looked like... some museum gallery of ostentatiousness - he'd walk into a room and say things like "and this is my (vase, statue, light fixture, bottle opener) - that cost $12590" ... and it wasn't just once, or just big things, his (BIG) house was filled with expensive crap - like he walked into a store and said "Ok, I need a (desk, couch, lamp, whatever) - what's the most expensive one you've got? $12k? Sounds great, I'll take it!"

...and this was the only one who complained that now he had no friends/family/everyone abandoned him/yadda yadda.

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2ys4u
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quote:
Originally posted by Dr. Dave:
The Washington Post magazine had an indepth article about a winner in West Virgina.

[Eek!] So sad and disturbing. I just read the whole thing [Frown]

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ica171
Deck the Malls


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I remember that special, Ophelia. That guy had some bad bad taste.

Re the Nebraska winners. Since that's basically right here, they did some specials on previous Nebraska/midwest lottery winners, and they did bring up the statistics that other lottery winners end up broke. With all of the ones they profiled, they still had money and they still had their family and friends. One couple farmed beforehand, and they still farmed and still lived in the same house. I guess it kind of depends on your attitude about money.

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Errata
Happy Xmas (Warranty Is Over)


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quote:
Originally posted by Dr. Dave:
The Washington Post magazine had an indepth article about a winner in West Virgina. I have not read it in over a year, but IIRC, it lead to a broken community, dead granddaughter, etc.

quote:
Jack Whittaker's big Powerball win cost him -- and everyone around him -- dearly

Wow, thats an incredibly disturbing story. Its clearly about more than just the money though. All throughout the story it was clear that the whole regions poverty was a driving force behind all the conflicts. He could have handled things way better, but things wouldn't have turned so rotten if the community wasn't so desperate.

On the surface it is admirable to want to stay in your community, but at some point it does become destructive. He should have broadened his horizons beyond West Virginia. He could have kept a home and businesses there, and concentrated his charitable giving there since it needs it. But trying to live it up year round in an area that really doesn't have appropriate outlets for wealth is just going to cause trouble. He had access to plenty of places beyond his community where his excess wouldn't have been so disruptive.

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Jason Threadslayer
Let There Be PCs on Earth


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quote:
Originally posted by black roses 19:
She invested in numerous restaurants and a couple of Harley Davidson stores, along with a few other minor things (and some in the stock market).

That's basically my plan (not necessarily Harley-Davidson, but businesses in general) should I win big money.

--------------------
All posts foretold by Nostradamus.

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Jack Dylan
Deck the Malls


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quote:
Originally posted by Pseudo_Croat:
quote:
Originally posted by guruwan2b:
PC, see Kathy B's link above.

I looked at it. The advice seems so... stuffy and hard to understand. Also, it seems like it's more trouble than it's worth, hiring all those bureaucrats.

I'd rather be poor or well-off.

- Pseudo_Croat

Try this page. Condensed and easier to understand. These are the steps I would follow if I were old enough to buy a lottery ticket, and happened to win. [Smile]

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Eppis: Do you know why being a revolutionary doesn't work in this country? Being a revolutionary in America is like being a spoil sport at an orgy. All these goodies being passed around and you feel like a shit when you say no.

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