According to the Daily Mail in the UK, the parents of American Idol 11 winner, Phillip Phillips declared bankruptcy last year. Digging up dirt from last September–I’m surprised TMZ didn’t get to this little news item first.
American Idol heartthrob Phillip Phillips has an estimated net worth of $3.5 million since coming out on top in 2012 on Season 11. But that hasn’t prevented his parents from piling up massive debts.
Daily Mail Online has learned exclusively that Phillip ‘Donnie’ Phillips and his wife Sheryl filed for Chapter 7 bankruptcy on September 19th in Georgia Federal Court. The court documents state they have a total of $290,445 in assets – but owe $304,295 to creditors.
Mr and Mrs Phillips, both 61, ran their own pawn shop for 24 years, however they sold it off in 2012 after defaulting on payments. Singer songwriter Phillip, 24, worked at the family business before winning American Idol – but just a few months later failed to step in to save it.
Court documents obtained by Daily Mail Online show that his parents’ financial woes continued to spiral while he amassed reported net earnings of $5 million in 2013 alone.
There could be many sound reasons for the family to declare bankruptcy that have nothing to do with Phillip, or whether he does or does not help them financially.
“He’s a good son, he’s there for us,” Phillip’s mom told Daily Mail Online from the doorstep of their family home in Leesburg, “There’s no rift – in fact I’ve just come off the phone to him.”
The family’s debt includes $204,000 owed to the bank for four Georgia commercial properties, including a mobile home, $78,000 on their single-story family home and $3,400 for a Hilton Head timeshare, nearly $1,000 in medical bills, over $5,000 in credit card debt and $1,279 for dental services. Phillips’ parents list themselves as unemployed although hia mothwe brings in $1,822 from pension income and they get $700 in help from family members.
Read more and see a copy of the document at Daily Mail.co.uk
