PCH Bankruptcy Leaves Lifetime Winners Unpaid

NEW YORK - Sweepstakes giant Publishers Clearing House’s bankruptcy means past “lifetime” prize winners will no longer receive their promised payouts, its new owner announced on September 16, 2025. ARB Interactive, which acquired PCH’s assets in July, said it is not obligated to honor prizes awarded before July 15, leaving several recipients scrambling to cover living expenses and mounting bills.

Nut Graf The abrupt halt to long-standing annuity payments has upended the financial security of winners who relied on PCH’s weekly and annual disbursements. Consumer advocates warn that this move exposes risks in promotional schemes that promise sustained lifelong awards without guaranteed funding.

Prize Payouts Halted

  • ARB Interactive acquired Publishers Clearing House’s remaining assets for $7.1 million in July and does not assume liability for prizes won before July 15, per the sales agreement.
  • An estimated $26 million in prize obligations remain unpaid, with annual payments totaling nearly $2 million due this year alone.

New Owner’s Stance

  • ARB Interactive emphasized its commitment to future prize integrity, pledging to cover awards for winners drawn after July 15 and “restore and preserve the trust” of PCH’s brand.
  • The company stated that obligations to past winners fall to the bankruptcy estate, not the acquirer.

Winners’ Plight

  • John Wyllie of Bellingham, Washington, who won $5,000 per week for life in 2012, discovered his $260,000 annual payment stopped this January. Unemployed for over a decade, he now faces potential foreclosure and seeks work to cover basic expenses.
  • At least ten lifetime winners are listed among the largest unsecured creditors in PCH’s Chapter 11 filing, though their identities remain under seal.

Legacy and Fallout

Publishers Clearing House, founded in 1953, built its reputation on surprise home visits by the “Prize Patrol” and oversized checks. After filing for Chapter 11 in April with $50 million to $100 million in liabilities against only $1 million to $10 million in assets, the company shifted focus from direct mail and magazine subscriptions to digital advertising and online gaming-a transition it hoped to fund through restructuring and a $5.5 million debtor-in-possession loan.

Subhead: Winners Fear Long-Term Consequences

  • Consumer-rights groups are calling for oversight of bankruptcy-estate distributions to ensure past winners receive at least a portion of owed prizes.
  • The case has sparked debate over the protections, if any, that annuity-style sweepstakes winners should have under federal and state law.