Should You Sell Off Your Collection to Pay Off Debt?
Many of us have our collections. Some of them can be worth quite a lot. However, sometimes we can also find ourselves in a lot of debt. This is especially true when it comes to car loans. These are often the worst types of loans because cars go down in value so quickly.
This is especially true with new cars. Plus, there will always be unexpected auto repairs to factor in as well. With all of this in mind, does it make sense to sell some or all of your prized collection to pay off debt? In this video, you will see someone in this very situation.
In this episode of the Ramsey Show, a caller calls in about his $20,000 of debt and $18,000 shoe collection. He is wondering if he should sell his collection to pay off his car loan. After some talking, they determined that he could instead only sell some of his collection. He could still keep the pairs of shoes he really cares about. To do this, he could sell his current car and buy a more affordable one. This may have been a better deal in the first place.