Who wouldn’t want to win $500 a week for life? It sounds like a dream come true.
But sometimes that dream can turn into a living nightmare.
A Florida man, Malcolm Ramsey, won the lifetime $500 a week lottery. And in less than four weeks he spent over half of his winnings.
According to a Tampa Bay Times article, Ramsey chose the lump sum cash option, netting him $302,466 after taxes. When he received his winnings, Ramsey got a cashier’s check for the full amount. Then, he cashed the check at Amscot (a check cashing store), which charged him over $14,000 in fees.
This story caught my eye, when I heard that he paid over $14,000 in check cashing fees. That is utterly ridiculous for anyone to pay that amount in check cashing fees. In Florida, it’s legal for check cashing stores to charge up to five percent of the check’s value though.
How did this happen? Ramsey is actually “mentally incompetent” and incapable of handling his financial affairs. That’s why the court appointed a guardian to handle them for him. Yet, the Florida Lottery gave him the check anyway.