Is an Engagement Ring Loan Right For You?
The second you are approved for your ring financing loan, you can use any means of payment you can think of. You can use cash, card, or a check to buy what you are looking for. You must then pay back the loan amount that you were able to get. This would be a monthly payment.
There are plenty of advantages to loans such as low-interest rates and better flexibility to get what you want. They won’t put a mark on your credit report, which can be either a good or bad thing. This depends on what you need your credit report for in the future.
The one major issue of a loan is when it comes time to pay your payments, which could affect how you are treated by your lender in the future.
You can also get a personal loan. This is a great idea as many lenders compete for your business. A loan given by a credit union, bank, or online lender is not fixed. Your rate will then be determined by your credit score and how well you are doing with your personal finances.
Another option is to get a credit card. Credit cards that have low or no interest periods give you the opportunity to repay your debt sooner. Opening a new account with a credit card company will put a mark on your credit report. This is especially true if you are charging only a little when you have a large line of credit. This is because you establish a debt usage ratio. This ratio is figured out by comparing your balances to what credit you have left. If you have 20 to 25 percent of the value that’s available on your credit card, you will have a jeopardized credit score.
You should remember that most deals that appear too good to be true, usually are. This is especially true when it comes to financing an engagement ring for your special day.
Saving money can be difficult, take too much time, and it could also be very inconvenient while you’re doing it. However, once you have saved enough for what you want, you can pay cash for it rather than owing a company anything if you borrow the money.
Using a credit card or applying for a new one for an engagement ring is a good way to pay for it if you can’t seem to save up enough money. There are some jewelers who have their own brand of a credit card. You can only use that card in their store, which is a great option if all you’re using it for is an engagement ring financing. The best part about these cards is their introductory rates.
You can also choose from various other credit cards that have no down payments, 0% interest, and more. If you know you can pay it off within the promotional period, then this is the ideal option.
Choose In-Store Financing
You will find that most retailers have finance plans available right there. Most of them will have little or no interest at all. Sure, these can be beneficial, but you need to watch out for a commitment to a promotional amount. The T&C’s of a promotional deal may be very strict.
Most large chain jewelers can help you with a finance plan, 0% interest, and more. This will be for a limited time, though.