Paying for an engagement ring

Twillyson

Hi all

Looking for a bit of advice on the best way to purchase an engagement ring. I've been saving for the last year and have enough set aside to buy the ring outright (£4,500). However, I'm now thinking that I might be better off using a credit card to do this.

I've never had a credit card and unsure where to start really. Do I focus on those with 0% APR or those with better cashback/rewards? Having already saved up I'll be able to pay the card off either instantly in one lump sum (assuming that's possible) or set up a monthly direct debit so that I have a bit of a cash buffer for other expenses. I've had a quick look and I'm not even sure if the cashback/rewards are worth the effort, but then I'm thinking it would be good for my credit rating to have a credit card. I probably wouldn't plan on using the card for anything other than buying the ring (unless it makes a lot of financial sense to do so). I haven't checked my credit rating since buying my first house 2 years ago, but expecting everything to be in good shape there.

Any advice would be really appreciated! Thanks

stevenhp1987

£4.5k for a ring?!

Why do you need to spend so much on a ring? If you spend so much on a ring, I assume you will spend a lot on the wedding itself.

Why do you feel the need to spend tens of thousands on a single day?!

Although, to answer your question: If you have the money set aside and are set on spending it, best sign up to the three credit agencies:

Noddle (CallCredit)
ClearScore (Equifax)
MSE Credit Club (Experian)

See what cashback cards are available to you. An Amex would net you a very good intro rewards on that amount.

Nasqueron

You have a few choices

1) Get a cashback card like the Amex Platinum, if you get sufficient limit you could get 1% cashback in the first 3 months (capped) which your ring would max out so that would be a nice bonus
2) Get a 0% purchase card, pay it on that and pay off over x number of months while earning interest on your money
3) Buy on a CC and then balance transfer it to a 0% card to let you pay off over x number of months

pmartin86

stevenhp1987 wrote: »

£4.5k for a ring?!

Why do you need to spend so much on a ring? If you spend so much on a ring, I assume you will spend a lot on the wedding itself.

Why do you feel the need to spend tens of thousands on a single day?!

It's posts like this that make me less and less inclinded to visit this forum...Op has saved up and wants to spend it, who the !!!! are you to question it?

[Deleted User]

If it's your first credit card then there may be a chance you won't get offered anywhere near that figure.

You may get £1000-£2000 but you won't find out until you complete the application.

Have you spoken to your bank as well to see what they can offer you?

Nasqueron

pmartin86 wrote: »

It's posts like this that make me less and less inclinded to visit this forum...Op has saved up and wants to spend it, who the !!!! are you to question it?

There are plenty of horror stories of people who start with this and run up huge debts paying for weddings and it ruins the marriage - if OP has the money to buy just the engagement ring, how long to save up for a wedding ring / wedding / how much debt are they setting themselves up for? Paying £4000 for a ring if you can afford it is great, if it wipes out savings, less so. What if they split up after a couple of years? Advice just needs to be considered, doesn't have to be obeyed

stevenhp1987

pmartin86 wrote: »

It's posts like this that make me less and less inclinded to visit this forum...Op has saved up and wants to spend it, who the !!!! are you to question it?

As mentioned there are plenty of horror stories.

I did, however, give a relevant response that would help them if they desired to spend such an amount.

lisyloo

A credit card is a really good idea as it offers some protection e.g. you put down a deposit and firm goes bust.


Amex do the best offers but first check if the jeweller takes AMEX, some shops don't.


Also make sure your household insurance covers this.
You may well find you have say personal possession cover for £5K for the household or a single-item limit that's lower than the ring.


Others have already commented but consider whether this is a sensible outlay for you.
My engagement ring was £499 and I'm still married after 20 years.
It's one of my most treasured possessions, but doesn't have to cost a fortune to be admired, meaningful and of course = a good marriage.
Up to you but if you've had to save you clearly aren't loaded and as the other posts indicate this is not a normal amount to spend (or insure).

lisyloo

pmartin86 wrote: »

It's posts like this that make me less and less inclinded to visit this forum...Op has saved up and wants to spend it, who the !!!! are you to question it?

Personally I think off topic responses are sometimes valuable (and sometimes not).
If people ask for free advice then they should be prepared for the fact that it may not be on their terms.


Of course the OP can do what they want both with the ring and the comments, but if you ask strangers for advice for free then they might not respond on your terms. As long as it's polite and broadly relevant I don't see the issue with people raising questions about what they've been asked. It's free speech (within limits).

normanna

You may want to ask yourself why you don't have a credit card currently. You may have never needed one or you weren't sure you could trust yourself not to run up debts. You're already mentioning having a cash buffer for other expenses. Just something for you to ponder.

With regards to the price of the ring, although none of my business but have some experience. Jewellery comes with a huge mark up so please bear that in mind. My next purchase of a particular watch for my husband will likely be second hand from a reputable dealer due to the mark up - maybe something else for you to consider. Make sure you know what you're getting as that's a lot of money to lose if its not legitimate. Some shops also offer 0% finance.

One more thing, make sure its covered by insurance and its sometimes difficult to get at a decent price.

Best wishes and hope all goes well.

ViolaLass

Before you buy, have you checked that the person who will be wearing it is happy with walking around with that much on their finger?

I'd have been horrified and far too scared of losing it/being mugged.