If you want to know how to buy a wedding ring with bad credit, please consider four options. We will help you determine the most realistic option for financing a wedding ring, even with a lower credit score or no credit history.
But more than knowing how to finance a wedding ring or engagement ring, please understand how much do wedding ring costs. And, of course, be practical with your purchase and do not take loans you can’t pay back.
How To Buy A Wedding Ring With Bad Credit
In-store financing
You can purchase a wedding ring through the jewelry store if you have bad credit. Most stores offer in-store engagement ring financing or wedding ring financing.
The difference with getting a wedding ring from a jewelry store using their store credit card is it’s easier to secure than other types of loans, especially if you have a low credit score or even a poor credit score. And to make this financing more enticing, the store may even provide rewards if you use a credit card.
However, the emphasis is necessary on understanding everything regarding the in-store financing of the specific jewelry store you selected. For example, you might think you’re getting an affordable option, but you might only consider the rate from their promotional period.
Buy now, pay later loan
The second option for financing a wedding ring, even with bad credit is to get a buy now, pay later loan. These loans are easier to qualify for compared to other credit applications.
A buy now, pay later loan will help you get the wedding ring in installments, and it’s usually interest-free. Remember that you must only consider a wedding ring financing where you know you’re capable of buying the monthly fees.
However, you will provide a down payment for this type of financing. You might also be limited with the credit amount.
Credit card
Nowadays, most people have a credit card, so why not use it to finance your wedding or engagement ring? You don’t need to apply for a loan or another credit option where your bad credit can make it difficult.
This option is also ideal for improving your credit score so you can buy other things much easier down the line. And, of course, it’s convenient since you will pay off your existing credit line, but be aware of the annual fees that the credit card may charge.
The emphasis is also necessary on the understanding that even if the credit card comes with a 0% APR introductory offer, interest will apply if you still have a balance once the offer ends. Therefore, use the time during the offer to save extra money as the interest is not yet included.
Personal loan
Another popular way to purchase a wedding ring, and it’s even a common engagement ring financing option, is through personal loans. Check with your credit union, bank, or even a lender.
Even with bad credit, you can get a ring, but be aware of the risks. Remember that a personal loan doesn’t require you to put up collateral, so this type of financing is less secured than the options stated above.
Another disadvantage is because you have bad credit, the personal loan may take time to get approved, and you may need to pay an additional fee. It’s best to find one with a fixed or lower rate and long repayment term, so you don’t need to worry about the repayment amount and monthly fees.
Do You Have To Have Good Credit To Get A Ring?
Can you get wedding ring financing with poor credit? Yes, but understand the limitations with the rates and terms available.
You may take some time to get approved with some financing or you’ll need to pay additional fees. After all, if you have a low credit score, bad credit, or no credit history, lenders will consider you risky.
How Much Credit Do You Need To Buy A Ring?
The qualifications or credit score you need to finance a wedding or engagement ring depends on your chosen option. Getting a wedding ring with any credit score is possible, but bad credit or a score between 300 and 579 will make it harder to find reasonable rates and comfortable terms.
Credit card
You typically need a credit of 690 and higher to finance a ring with no interest using a credit card. However, be aware that the promotional period is usually only between 15 to 21 months.
Buy now, pay later
There is no required credit score for most buy now, pay later options. However, you want to show you have enough funds on your card at checkout.
Limitations with in-store financing and personal loan
You may need a good credit score to qualify for in-store financing; the same applies to personal loans to help you get the lowest rate. On the other hand, you may still qualify with a low credit score, but the interest may be higher.
Do you already know what wedding ring you want to finance? Read how to pick a wedding band.
Conclusion
And that’s it! You just learned how to buy a wedding ring with bad credit by considering in-store financing, buy now and pay later loan, credit card, or personal loan.
However, be aware of the potential limitations and higher fees because of a bad credit score. In addition, remember that lenders consider people with a low or bad credit score riskier than those with good credit.