Texas baseball fans may be familiar with Jody Gerut, who was once a candidate for the American League Rookie of the Year in 2003, and played for the Cleveland Indians, San Diego Padres and Milwaukee Brewers. He says he once knew nothing about money, despite a Stanford education and a major league income. Gerut revealed that he had put his money in the wrong places, and so now, he is an agent for other athletes to help them avoid a similar fate.
By learning to invest carefully and spend wisely, he continues to live comfortably even in his early retirement. Gerut noted that many athletes are not well-advised on how to spend their money carefully. In fact, Sports Illustrated reported that 78 percent of former NFL players found themselves bankrupt after two years out of the game. Often, when people find themselves with a raise or a large income, they spend quickly without thinking of the future.
Gerut's career was taking off amid the tech bubble, and so he invested. However, he realized that seeking a financial expert's opinion could help him to make his financial gains stretch further. Now, Gerut has his investment adviser license through the Securities and Exchange Commission and is working to prevent athletes from finding themselves in such financial difficulties.
Getting into financial difficulty can be avoided, but for many families, it may be too late. Seeking the advice of an experienced bankruptcy attorney can help to find an option for debt relief, whether filing for bankruptcy or seeking loan modification. There are ways to get out of debt and start to rebuild a new financial life.
Source: MLB.com, "Gerut on mission to protect players' finances," Anthony Castrovince, Jan. 7, 2012