How to Finance Engagement Rings

Purchasing a diamond engagement ring can be one of the most significant decisions you will make in your adult life.

The jewelry purchasing and financing process is just as important as selecting the ring.  And can be just as stressful.

Most people choose one of two options: making a one-time payment at the time of purchase or financing the engagement ring.

When Should You Finance an Engagement Ring?

Choosing to finance a diamond engagement ring is an excellent option, especially if you can’t afford a one-time lump payment or if you would prefer to pay off the sum over time.

Financing an engagement ring with bad credit is not only a possibility, but it’s also a great way to get the ring you have your eye on while increasing your credit rating.

It provides a viable way of purchasing your soon-to-be fiancé’s dream engagement ring without the weight of having to come up with a sizeable amount of money in one fell swoop.

Financing the engagement ring is also helpful if your proposal is happening a little sooner than you had initially planned. This option will allow you to still proceed with ease.

If you’re considering going this route here’s a few options that can help you determine if financing an engagement ring is the best decision.

1. What Can I Afford to Spend on a Diamond Engagement Ring?

Determine what you can afford each month based on your income; adding in existing expenses, savings potential, and current savings goals.

It’s important to make sure that the diamond engagement ring you are purchasing is within your budget, even if you are choosing a financing route.

2. How Would Financing an Engagement Ring Help Me?

While some people view financing a diamond ring as something negative, many financing options, especially those with little-to-no interest for 12 months, can help you to progressively save towards other financial goals.

Financing options can be especially valuable during the wedding planning process as well because couples are purchasing wedding bands early.  

Financing & Payment Plans for Engagement Ring

There are three financing options that can be suggested as the best and easiest ways for you to finance an engagement ring; directly through your jeweler, with a little-to-no interest credit card, or with a personal loan.

Financing Through Your Jeweler

Most jewelers provide customers with a payment plan option that allows them to finance their diamond engagement ring directly through the store.

This option usually has competitive interest rates when compared to personal loan financing options.

At Hannoush Jewelers, we make it a priority not only to provide you with the highest-quality diamonds and jewelry for the absolute best price, but also with easy financing options to help you secure the diamond ring you love.

Our in-house options provide financing options for approved credit holders, including layaway and multi-month financing through Wells Fargo Bank.

Credit Card

A second financing option is to opt for is a credit card that has little-to-no annual percentage rate.

There are numerous credit cards that provide a low annual percentage rate during promotional periods.

The duration of the rate can vary, but it is typically an 18-month period.

However, it’s important to pay the credit off during the promotional period, otherwise interest rates tend to skyrocket and may result in a longer (and more expensive) payment schedule.

Personal Loan

A personal loan is the third option to consider when financing an engagement ring.

While interest rates with a personal loan could be higher than a credit card, a personal loan allows for more time to pay off the balance of the engagement ring, as opposed to the allotted 18 to 21 months offered by a credit card company.

Through research, it is also possible to find competitive offers that might make more sense for you based on your financial position or preference.

Finding the Right Ring for You & Your Significant Other

Whichever financing option you decide works better for you, we are ready to help you find the perfect ring for the one you love.

The staff in our Albany and Clifton Park, New York locations can provide you with the options you need to make a purchase that will leave you feeling rest assured that the right decision was made.