Mary J Blige’s gross financial negligence has gained her elite access into the Grade F Behavior Gold Membership Program. With debt adding up and surpassing the $3 million mark, what did Mary basically do about it? Pretend that it didn’t exist. Horrible, horrible idea! It didn’t help that as a well-known musician, your debtors have the media as an additional method to shame you into paying your debts. And shaming they did, as media outlets have released a series of articles detailing the serious financial woes of the singer.
Mary must have been experiencing a rough previous couple of years. The State of New Jersey has just issued a $901,769.65 tax lien against the singer according to the Huffington Post. As massive as that is, it isn’t the only debt that has been forgotten. In November of 2012, Mary and her husband were sued by Signature Bank for defaulting on a $2.2 million dollar loan. Additionally, the couple stopped paying on a $500,000 loan from Bank of America. After long periods of non-compliance and avoiding the bank’s phone calls, lawsuits have been filed by Bank of America as well. An additional lawsuit was filed against Mary’s charity, as a $250,000 loan has also been neglected. Basically, Mary may end up in court more often than Chris Brown.
At this point in Mary’s career, there should be “no more drama”. Smart entertainers manage their own finances, leverage their earnings, and diversify their investments. While it’s not an easy task by any means, it’s the only way to go if you’re going to avoid the Lindsay Lohan Retirement Plan.
With Mary’s earning power, there was really no need to take out multiple loans if she had lived within her means. Loans are available to people of all income levels. However, the wealthy elite have a different relationship with debt.
Rule 1: No massive debt in your name: If the debt was necessary for business purposes, she should have created a LLC or corporations and placed the debt under a business entity’s name, not her own.
Rule 2: Payment Plans: Never borrow any money that you don’t have a strategic, long-term plan for paying back.
Rule 3: Restructuring but never ignoring: Don’t ignore the debt should you encounter difficulty paying it back. Consider restructuring it or doing what is necessary. Ignoring it further ruins your credit.
With things turning out like this, it’s safe to say Mary J Blige has been slipping big time on financial management and has been harvesting bad credit for a long time now, which is a complete shame. It’s a long time coming, but it is time for Mary to get a financial advisor and master her own finances. If her husband is still her manager, it’s time she relinquish his duties over her finances if that’s the case. Otherwise, nothing changes if nothing changes. This is no one’s fault but Mary’s.
We have a feeling that it’s going to take Mary quite a while to rectify the massive debt. Her career and earning power is definitely winding down. However, we’ll hope for the best. If not, look for the big “foreclosure” and “bankruptcy” words to be dropped next to her name in the next few years. Good luck, Mary. It will be hard but try to run from easy “chicken and watermelon” paychecks from corporate America.
*Image courtesy of Vibe.
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