Toni Braxton Reveals the Source of Her Financial Woes
Thu, 06 Dec 2012 16:09:29
Financially embattled singer Toni Braxton revealed what lead her to declare bankruptcy. She reveals that she splurged on frivolous, extravagant and unnecessary items like expensive bedding and kitchen items. But that's not the sole reason.
In 1998, TB filed for bankruptcy. She reveals that despite her success, her label LaFace took a huge cut of her earnings and she never received huge advances. That's pretty much how a record label works. It's like a bank – a money-lending institution.
"What happens is they will give you an advance million on the next record and the next record so you kind of stay in debt in a sense," she told 20/20. She wasn't pointing fingers and reveals that she also was to blame, splurging on 100,000-thread count sheets, too.
She then ended up with a debt of $10 million and $50 million after canceling Las Vegas shows that she self-funded after learning she had lupus.
Her Georgia mansion was recently foreclosed upon, and she has since learned to live on a budget.
What do you think of Toni Braxton's money woes?