I am very old school in that I believe that when it comes to engagement rings, it should be dealt ith the classic way. Save some money from your salary until you can afford an engagement ring. In fact, your spouse should know about your financial situation before you decide to get married and start shopping for a ring. Your budget should be known so there are no outrageous expectations.
However, sometimes love can make us do crazy things and people may not think about their financial well-being before buying a diamond ring. This often leads to a financial disaster and long-term after-effects on the marriage.
Is It Smart to Finance an Engagement Ring?
If you are about to pop the question and your financial situation isn’t good enough to buy your soon-to-be spouse an engagement ring, then there are other ways. The price can vary depending on the engagement ring style, but the average is around $5,000 these days. Getting your engagement ring financed these days is a common thing for many.
However, there are some shortfalls for going this route to pay for your ring. So the real question is: should you finance an engagement ring?
To put it simply, financing an engagement ring should be your last resort. You really don’t want to start a marriage with debt hanging over your head. Luckily, there are many financing options available today both through banks and diamond retailers.
I was browsing my Facebook newsfeed just the other day when I came across a sponsored post talking about 0% financing for an engagement ring. This ad was posted by a very well known jewelry store, a nationwide chain that is very famous for their rings.
I would say, if you come across an offer like that, you shouldn’t think twice and go for it. Zero-percent financing options are very rare and they are extremely beneficial for someone who lacks the financial stability to buy a diamond ring by paying for it all up-front. You can find many options like this that will cater to your financial situation at the different James Allen financing options I wrote about earlier.
With 0%, as long as you abide by the terms and make your payments on time and pay down the entirety before the 0% period ends, it can be a very affordable way to buy your ring. When going for other financial options, there is easily a chance that you may end up paying so much more for a mere $5,000 ring, due to high interest. This can damage your financial stability which is not only bad for you, but bad for both of you as you start the rest of your lives together.
Taking advantage of a great financing offer can really help you out in the future because you’ll be able to get the ring you want, without having to pay the full cost up-front, and save you from paying exorbitant interest rates.
Other Ways to Pay
Although financing an engagement ring is an excellent option, especially if you need to buy one right away, I would still recommend saving money from your salary. If you are smart with your finances and put a little money away on a consistent basis, you can get there. There are literally hundreds of savings accounts offered by banks across America that can help you earn up to 2.25% on your money. If you are wise with your money and plan ahead, you can get to that amount you need without having to rely on financing.
If you really need to finance an engagement ring, make sure you find the option that has the lowest % APR otherwise you’ll regret buying that ring for the term of the repayment.