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 Replies: 46 / Views: 7,484 |
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New Member
United States
3 Posts |
Hey CCF! Long time CCF enthusiast here, have been surfing the forum for years, drooling over beautiful coins, and learning a lot from our experts along the way. I'm primarily an American coin collector, started when I was about 11 years old, took some breaks along the way, and in the last few years, have started to become much more active in this hobby. I bought my first coin when I was 10 at a flea market for 1 dollar, an 1853 Seated Liberty dime. Since then I've developed a passion for Morgan dollars, early american copper, wheat cents, and moderns of all types. I mostly live vicariously through CCF members but often dream of acquiring an impressive collection someday. As strange as it sounds, coin collecting has been there for me through life's ups and downs, and I found that no matter what was going on in the world, I could always retreat to my room, crack open some bank rolls, look for varieties, study my collection, or read CCF posts. A bit about me, I'm 27 years old, recently married the love of my life, who tolerates and sometimes encourages my coin collecting. She is the kindest, most patient person I know, and I'm sure she's going straight to heaven after signing up to deal with me for a lifetime. I have a bachelors and doctorate and, after high school, spent 8 years in school getting those coveted degrees. Society encouraged me and my peers to work hard and get a high education in hopes that we can lead successful and fulfilling lives. It seems that 2 years out of school this has not been the case. Everything is much more cutthroat than I can remember, everyone's only looking out for themselves, money drives everyone and everything, and it seems that my generation is getting screwed... I am about $421,000 in debt from student loans, at close to 7.5% interest from the federal government. I was assured by the school administrators that this loan amount was sustainable and job opportunities would be abundant. In hindsight, it appears it was all just a sales pitch, and they were looking for a healthy profit. My wife and I are making $3,500 monthly payments, $3,200 of which are going toward interest, while the remaining $300 reduces the principal. At this rate, it will take 200 years to pay off. In the mean time we are struggling to get by, we can't save much, can't buy a house or support any children. All I own in this world is my coin collection, some furniture, and a 15 year old car. It's really quite depressing. My collection all together is worth about $20,000. It's not much, but might make a small dent in the loan. Coin collecting has brought be a lot of joy since childhood, but I'm thinking it might be time to move on. I need some advice. What would you do? Thanks again CCF for all that you do! John |
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Pillar of the Community
United States
1512 Posts |
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Pillar of the Community
United States
1512 Posts |
Oh, and  to CCF! |
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Pillar of the Community
United States
3486 Posts |
Hello John. I would suggest the following: Determine where $20,000 would make the biggest dent in your debt. Select 10 percent of your holdings, especially the 1853 Dime, and hang on to them. Sell the remaining 90 percent, make the dent, and don't look back. You'll still have memories as well as a few of your favorite items to cherish in dark times. I have sold off about half of my collection. What made it easier for me was that I was focused on building one complete set of my favorite Barber dimes. Gone are a complete set of Wheat Cents, complete set Buffalo nickels and TWO complete sets of Mercury dimes. Junk silver - gone. Etc. etc. I do not look back. Although I have to dig out the Barber dimes from time to time to remind myself that I did the right thing - for MYSELF! Do the right thing for YOURSELF (and your family) and you'll sleep better. And you'll have the CCF just as you do now. |
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Pillar of the Community
United Kingdom
856 Posts |
Personally .. if your collection were worth $200,000, I'd say yes.
But $20,000? That equates to a few months payments ... and possibly years of regret. Your coins are not just money. They represent time and passion and dedication and I worry you will miss them if you part with them. OK, you could possibly replace them a few years down the line .. but you might find the enthusiasm is lost.
Just my opinion of course. But whatever you do it's important you are happier as a result.
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Valued Member
United States
306 Posts |
Quote:
I am about $421,000 in debt from student loans, at close to 7.5% interest from the federal government. Welcome to CCF! and also to the world of high priced education! There is no need to pay anymore than the minimum payment on your student loans! The balance is daunting yes, and it will always be, but no need to worry or be depressed there are thousands of physicians and many in other fields that are in the same situation you are...make minimum payments...period...find work you love to support the life you want. Congratulations on your degrees...8 years of work is done and if you've survived that...the hardest part is over. On topic...no need to sell your collection and once again welcome to CCF!  |
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Valued Member
United States
415 Posts |
Its times like this where I wish I was so well off that I could buy your collection for 20K, then give it all back to you for Christmas. I have to agree with Tom. Selling your cherished collection may haunt you down the road. If you do sell it, Take Matthewvincent's advice. Keep anything and everything you cant replace like that dime. My most "valuable" coins to me are coins that others would see little value in. Ones that were given to me or collected with people that aren't here today, and some that may not be here tomorrow.
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Moderator
 United States
23522 Posts |
For the record, I haven't acquired a new coin for my collection since January 2013. There are plenty of ways to keep numismatics interesting if you're not buying.
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Pillar of the Community
Canada
5393 Posts |
Incredible the student loan and medical payment problems one hears from the good old Land of the Free and Home of the Brave. For a young man you indeed have a major problem, that is going to require more than off loading your coin collection.
My advice, for what it is worth is..... yes indeed you HAVE to sell your collection and make some other very hard decisions as well. You and your wife may well need to work two jobs each and live on rice and beans for quite some time. Life is going to be no fun until you deal with this crushing debt if you hope to have a successful future. You and your wife sound like candidates for " Dave Ramsey's Financial Peace University".
You can probably deal with this debt over the next ten years if you really attack it . Then and only then can you come back to your coin collection and life s other pleasures. Many have been in your situation, but you can deal with it ! I hope this does not sound too harsh, it is certainly not meant to be . Wish you and your Dear wife the Blessings of Christmas and a more successful 2015.
PS Keep your single most meaningful coin in a place where you can look at it every day as you attack this crushing debt. It will help you get through this.
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Pillar of the Community
United States
3843 Posts |
7.5% interest? Yikes. I believe it might be possible to refinance to a much lower rate and save yourself a considerable amount of money over time. Are you currently employed as a doctor? I'm sure you know the career outlook for your profession far better than any of us. However your late twenties is usually the time in which young professionals see a nice bump in salary due to having a few years of experience and having proven themselves as a valuable commodity in the labor force.
If I was in your situation I'd follow matthewvincent's advice and sell the bulk of the collection minus a few choice pieces. Most coins are readily available if you know where to look can be replaced later on with a little effort when your finances improve. It is a drastic measure but in your situation I'm afraid that is what may be required to help get yourself on the right track.
I'm roughly same age as you and know how hard it is for people in our generation to make it in this new economy. I was considering going to law school after getting my bachelors but decided that it wasn't worth the risk/debt since there are a lot of unemployed/underemployed lawyers out there today. Nothing to do but to keep trying.
I wish you the best of luck.
Edited by Joe2007
12/22/2014 2:02 pm
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Pillar of the Community
United States
604 Posts |
Sorry for your troubles and sorry to say I don't have any good advice for you. In my opinion selling off your collection won't do much other than help with the daily expenses. If that's what you're looking to do with the money then you have to do what you have to do. I know that some people who have a lot of debt will just take the easy road and file for bankruptcy. I'm not saying you should do that but 20k won't last forever. No matter what you decide or what happens, no one can take away your education.
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Pillar of the Community
United States
7375 Posts |
Sorry to hear about the large debt, but whether you are in debt 420K, or 400K after selling you collection, assuming you get the full 20k for it, you will still need to make some major changes to pay of the debt. IMO, the coin collection might be the one bright spot, and worth holding on to. I like the idea of refinancing the debt. 7.5% sounds like a huge number when mortgages are going for 4%. There are some good non-profit organizations to help folks like you make some decisions. I'm not talking about the rip-off debt payoff deals. Keep us posted.
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New Member
 United States
3 Posts |
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Its times like this where I wish I was so well off that I could buy your collection for 20K, then give it all back to you for Christmas. Thanks, that's very nice of you to say. I too wish I were in the position to help people more. Search 'Secret Santa in Reading' on youtube. Quote:
7.5% interest? Yikes. I believe it might be possible to refinance to a much lower rate and save yourself a considerable amount of money over time. Are you currently employed as a doctor? I'm sure you know the career outlook for your profession far better than any of us. It's possible to refinance to 5.5-6% these days, but you lose the ability to apply for forbearance due to financial hardship like you can with federal loans. We've already had to apply a few times and take some months off to help pay for our wedding. All while the interest piles up. They do call me doctor at work, yes, but honestly the career outlook isn't as good as you think. Large multi million dollar corporations have bought into healthcare and starting salaries are very low compared to our debt ratio and our hours are brutal. It's similar to an indentured slave scenario. I got into this to try to help people and ease their suffering, but it seems I'm mostly working to line the pockets of the CEOs and executives. God knows, the government isn't really helping either. Quote:
I know that some people who have a lot of debt will just take the easy road and file for bankruptcy. Unfortunately, I've considered this as well. Turns out you can't file for bankruptcy for student loan debt. Those are only forgiven when you die. Thanks for all the replies everyone, sorry to bring the mood down haha... This has been my life for the last few years. On a happy note, I think my wife bought me a coin for Christmas. Hope it's not cleaned like the Half Cent she got me last year  (although, since she took the time to research and buy it, that coin brings a tear to my eye every time I look at it) |
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Moderator
United States
187702 Posts |
I would not sell them. Instead, as suggested, look at ways to restructure that debt.
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Pillar of the Community
United States
6370 Posts |
Quote:
I am about $421,000 in debt from student loans Where did you go and what did you study to amass such a debt, if you don't mind me asking? I'm curious as I am about to set foot in the world of higher-level education myself. As for the answer to your question, I agree with what the previous posters have said. Your post implies that you are employed but perhaps not in the field you majored in. I hope I'm wrong and you have a good job you enjoy. You say your collection is worth $20,000, but I have a hard time believing that's what you will get when you sell it. Do your research, and if it looks like it is not worth as much as you thought, then I wouldn't recommend selling it. Other than that, all I can say is good luck. |
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Valued Member
United States
306 Posts |
Quote:
Unfortunately, I've considered this as well. Turns out you can't file for bankruptcy for student loan debt. Those are only forgiven when you die. This is precisely why you make minimum payments throughout your life. For 6-12 year educations this is very common. I'm sure that throughout your education in the field you studied, someone has advised you of this. This is not uncommon, just not an openly discussed topic. Doctorate = Lifetime debt, there are circumstances when that rings untrue...trust funds, scholarships, already a millionaire etc... |
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Replies: 46 / Views: 7,484 |
Posted 12/22/2014 12:05 pm
