When it comes to buying an engagement ring, finding the perfect ring is just half the battle. The other half is figuring out how to finance it.
There are many options available for financing an engagement ring, but not all of them are equal. In this article, we will go over the best places to finance your engagement ring.
Table of Contents
Best Place to Finance Engagement Ring
1. Jewelry Store Financing
Many jewelry stores offer in-store financing options for engagement rings. This can be a great option if you want to see and try on the ring before making a purchase.
Advantages:
- In-Person Consultation: You can try on the ring and get professional advice from a jeweler before making a purchase.
- Convenient: You can apply for financing at the same time you make your purchase.
- Special Deals: Jewelry stores often offer special deals and promotions for in-store financing, so you may be able to save money.
Disadvantages:
- Limited Selection: The selection of engagement rings may be limited at a single jewelry store.
- Higher Interest Rates: In-store financing options may have higher interest rates compared to other options.
With so many jewelry stores offering financing options, it can be difficult to determine which one is the best option for you. We’ll take a look at four popular jewelry stores, James Allen, Blue Nile, Brian Gavin, and Tiffany, and compare their financing options.
James Allen offers a deferred interest option if you pay the full amount within 6 months (minimum $1,000 purchase). They also offer 9.90% APR on 24 monthly payments (minimum $2,000 purchase and must be in “good standing”). If you don’t qualify for this rate, a 29.99% APR is available.
Blue Nile offers a no-interest option if you pay the full amount within the promotional period of 6-18 months (depending on the purchase price). There’s also a 9.99% APR option for full payment within 24-60 months. If not paid in full, a standard variable Purchase APR of 29.99% applies.
Brian Gavin Diamonds offers APR rates between 10-30% (based on your credit), with monthly payment options of 3-36 months.
Tiffany & Co. offers 7.99% APR for a 24-month promotional period. The rate may be 8-21% (depending on state) after the promotional period if the amount is not paid in full or if a late payment is made. There’s also a no interest option for a 12-month promotional period, with the same conditions as the above.
2. Bank Loans
Another option for financing an engagement ring is through a bank loan. If you have good credit, you may be able to get a low-interest loan from your bank.
Advantages:
- Low-Interest Rates: Bank loans often have low-interest rates, especially for people with good credit.
- Convenient: You can apply for a loan online or at a local branch.
- Flexible Repayment Terms: Bank loans often have flexible repayment terms, so you can choose a plan that works for your budget.
Disadvantages:
- Lengthy Application Process: The application process for a bank loan can be lengthy, and you may need to provide a lot of documentation.
- High Approval Standards: If you have poor credit, you may not be able to get approved for a bank loan.
3. Credit Cards
Another option for financing an engagement ring is through a bank loan. If you have good credit, you may be able to get a low-interest loan from your bank.
Advantages:
- Low-Interest Rates: Bank loans often have low-interest rates, especially for people with good credit.
- Convenient: You can apply for a loan online or at a local branch.
- Flexible Repayment Terms: Bank loans often have flexible repayment terms, so you can choose a plan that works for your budget.
Disadvantages:
- Lengthy Application Process: The application process for a bank loan can be lengthy, and you may need to provide a lot of documentation.
- High Approval Standards: If you have poor credit, you may not be able to get approved for a bank loan.
4. Personal Loans
Another option for financing an engagement ring is through a personal loan. Personal loans are offered by online lenders and can be a good option if you have good credit.
Advantages:
- Low-Interest Rates: Personal loans often have low-interest rates, especially for people with good credit.
- Convenient: You can apply for a loan online and receive funding quickly.
- Flexible Repayment Terms: Personal loans often have flexible repayment terms, so you can choose a plan that works for your budget.
Disadvantages:
- Lengthy Application Process: The application process for a personal loan can be lengthy, and you may need to provide a lot of documentation.
- High Approval Standards: If you have poor credit, you may not be able to get approved for a personal loan.
5. Layaway Plans
Lastly, some jewelry stores offer layaway plans for engagement rings. This allows you to make payments over time until you have paid for the ring in full.
Advantages:
- Affordable Payments: Layaway plans allow you to make affordable payments over time.
- No Interest: Layaway plans typically don’t have interest, so you can save money in the long run.
- Flexible: You can choose a layaway plan that works for your budget.
Disadvantages:
- Limited Selection: The selection of engagement rings may be limited to a layaway plan.
- Long Wait Time: Layaway plans often have a longer wait time, so you may not be able to receive the ring right away.
Conclusion
In conclusion, there are many options for financing an engagement ring. It’s important to consider your budget, credit score, and preferred payment options when choosing the best option for you. Whether it’s through an online retailer, bank loan, credit card, jewelry store financing, personal loan, or layaway plan, there is a financing option that can work for you.
