The NFL Draft is tonight and that means dozens of young men will become instant millionaires once their names are called, but many of them are already thousands and possibly millions in debt.
Roland Martin, host of NewsOne Now said, “When you see them walking across that stage dripping in diamonds, they’re already going to be driving Range Rovers and Benzs and they haven’t even signed a contract yet,” these “new money” millionaires will have already started their lucrative pro sports careers owing somebody a lot of money.
Former NFL player Phillip Buchanon knows all too well the story of “new money.” After being drafted to play in the NFL, Buchanan says his mother demanded $1 million for raising him.
Buchanon joined Martin Thursday on NewsOne Now to discuss his book, New Money: Staying Rich, and the financial burdens professional athletes face.
He told Martin on draft day he was “probably a million dollars in debt” before his name was called.
“It’s so strange, when you get ‘new money’ … you start doing strange things and when my name was flashed across the bottom of the screen, when I first got drafted, that is when new money was born and it was so much chaos. Everything started boiling around that time.”
Later in the segment, Buchanon recapped the experience of his mother demanding a large sum of cash for raising him.
“When she told me, there was so much going on I really didn’t know how to take it.”
He continued that he had just bought her a house and took her from “living in the hood to living good.”
“I took her from nada to Prada.”
At one point near the end of his career, Buchanon was down to $400K in his bank account, was robbed, and owed a lot of money on three different houses. He told Martin that’s when he realized that he could go broke.
The former NFL cornerback also questioned how pro athletes plan financially, saying, “How do you come into the NFL with no debt and then you accumulate all this debt?”
“Its because you don’t understand how to spend your money.”
Watch Martin and Buchanan discuss his book New Money: Staying Rich and the financial burdens pro athletes face in the video clip above.