5 Extreme Celebrity Bankruptcies

Bankruptcy is a more common occurrence in the United States than many people realize. In the twelve months leading up to March, 2014, there were a total of 1,038,280 US bankruptcy filings. While this number comprises a small percentage of the US population, it still seems very high. There are many cases when people file bankruptcy because of business problems, as well as personal problems. Surprisingly, celebrities (often some of the richest ones) file for bankruptcy as well, and there stories always make big news. It’s difficult for many of us to even imagine having millions of dollars, but going bankrupt after having that kind of money seems almost impossible. Yet, we read stories about people winning the lottery and then ending up poorer than before, so anything is possible. Many celebrities have faced bankruptcy; here are five of the most extreme celebrity bankruptcies.

(Photo by Mike Coppola/Getty Images)

(Photo by Mike Coppola/Getty Images)

1. Toni Braxton

This famous singer filed for bankruptcy in the 90s, and then filed for a second time in 2010, and claimed debts up to $50,000,000. Don’t worry, though, Braxton ended up being just fine. Thanks to her reality TV show, she recently bought a $3 million mansion in Calabasas. The house has four bedrooms and five bathrooms (and it measures 5,323 square feet.) It’s hard to imagine anyone but a celebrity recovering from bankruptcy so quickly, but Toni Braxton did it, and she has her talent to thank for her recovery.