Former Chelsea striker Eidur Gudjohnsen has agreed a settlement with a Luxembourg bank to wipe clear debts that amount to €5million, reports Sport Witness.

According to Belgian newspaper HLN, the 35-year-old Iceland international has been crippled by the world financial crisis, following a number of bad investment choices back in his homeland.

After Gudjohnsen moved to Belgium to play for Club Brugge at the start of the year, the Luxembourg bank followed the forward out there, in an attempt to try and recoup some of the money owed, but to no avail.

That prompted the former Premier League star - who enjoyed six successful seasons at Stamford Bridge - to sit down with his creditors and put together a plan to repay his loan.

Gudjohnsen has also enjoyed a stint with Barcelona, whom he won the Champions League with in 2009, before leaving Camp Nou for AS Monaco that summer, after three years in Spain.

He returned to England for a brief loan spell at Tottenham, and also featured for Stoke City and Fulham, before moving to Greece - another country hit by the economic crisis - to take in a season with AEK Athens.

Sadly, Gudjohnsen has been plagued by financial problems for a number of years, having previously had issues with gambling, with BBC Sport previously reporting that the Icelandic star lost more than £400,000 in casinos in the space of five months.

Do YOU want to write for GiveMeSport? Get started today by signing-up and submitting an article HERE: