NFL Players Taking Risky Loans

It was reported this morning by The Daily for the iPad that several NFL players are taking out high-risk, high-interest loans. Some of the loans are as high as 30% interest and for well over $100,000. In other words, if you borrow this type of money the payback figure will be $130,000. Wow!

Does this news mean the union or lack there of will crack? Players’ irresponsibility may end up being the downfall of the NFLPA. While there’s a fund set up for players to pay for insurance, there’s no additional money for personal items. While I’m not going to take a swipe at players for spending money foolishly, these loans beg to ask the question about how much agents and the NFLPA educates players about financial responsibility.

My wife and I live comfortably with our two children. We can buy plenty of things and put ourselves in debt, but we choose not to do it. Are we smarter than many of the players, well considering we don’t take loans at 30%. Why can’t the NFL players use even an ounce of common sense?

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  • Bearmeat

    “Why can’t the NFL players use even an ounce of common sense?”

    Because most of them didn’t grow up in a financially solvent, stable home, (like you or I) with parents who taught their kids how to budget that’s why. On top of it, even the bottom of the roster NFL players who make the league minimum are treated like royalty who just won the lottery by friends, family and groupies. The temptation for someone who grew up in abject poverty and has finally “made it big” to spend wildly is VERY strong.
    -
    I taught band and general music at a middle/high school at 95th and Michigan for 2 years – I know what the environment is like growing up for most of today’s professional players. The graduation rate for boys was under 20%. The ones who graduated all went into either the milatary (JROTC) or college athletic programs. They became other peoples “way out”.

    That’s why. It doesn’t excuse the bad decisions, but I hope it informs your question.

    • http://twitter.com/bearshq Jonathan

      Thanks for the comment. I am not naive to the plight of many players in the NFL, but let’s be realistic. It doesn’t excuse the players spending money like the Rapture is coming. This just gives the NFL owners another feather in their collective caps. I’m sorry, but I do not excuse the way many of these guys grew up. There’s enough smart people advising these players including many former and current NFL stars. When they choose not to listen, that falls on the players.

  • Bearmeat

    Oh, and I thought you might enjoy this: Major props to Chris Harris – good guy.

    http://cheeseheadtv.com/lounge/some-bears-dont-suck

  • http://monex.to/wiki/E._Keith_Owens E. Keith Owens

    I may not be one of the more well informed about the issue and we all know what side of the fence I am on when it comes to this entire dispute but with word now coming out that players around the NFL are applying for high interest loans to get them through the lockout makes me want to question again why it is that the players and the owners are not getting something done with a new agreement?.While none of the Miami Dolphins players have been identified by name an attorney told that players are being offered and accepting high interest loans without collateral to get through the lockout. Simple there is no guarantee that the lockout will end any time soon that the players will suddenly start getting paid from the teams or that they will make the 53 man rosters once the labor dispute is over.