Financial mismanagement, unscrupulous advisors and gambling issues are often major causes of the problem.
Neil Walsh looks at the reasons why five current and former Premier League players have been forced to declare bankruptcy...
Lee Hendrie, now 35, was once considered one of the top up-and-coming midfielders and was heavily tipped for a big career. Despite some solid displays in a Villa jersey, the big career that was expected never really materialised. Now seven years after his last appearance for Aston Villa, he is playing football in the conference, bankrupt and has tried to take his own life on two occasions.
The Tottenham keeper, who is now second choice behind Hugo Lloris, found himself in a spot of bother while playing for Aston Villa after being declared bankrupt back in 2011. The mounting debts, which added up to a hefty £5 million, were a result of the purchase of a 28 acre Premier Soccer Academy which he insisted he was not making money off.
John Arne Riise
The ex Liverpool man, who currently plays his trade at Craven Cottage with Fulham, was declared bankrupt bank in 2007. The bankruptcy order is understood to be issued after a debt of around £100,000 was not paid. This comes after the player went through with failed business enterprises, which included a hotel.
Eric Djemba Djemba
His playing career at Man United wasn’t memorable but his name certainly is. The Cameroonian also enjoyed stints at Aston Villa and Burnley and currently plays with Hapoel Tel Aviv. Djemba-Djemba’s bankruptcy came from ridiculous spending. At one stage, he owned 10 4x4 cars, sending large pieces of furniture back to Cameroon and giving away money to a range of hangers-on.
Jason Euell, 36, who rejoined Charlton Athletic back in 2011 and is currently with AFC Wimbledon on loan, filed for bankruptcy after discovering he was the victim of fraud. He realised his signature had been forged on to documents after a business he set up with a friend failed.