Can You Finance an Engagement Ring?

Posted by in Loans | Updated on May 30, 2023
At a Glance: An engagement ring can be very expensive, but there are various ways to finance it. You can take out a personal loan, use a credit card or obtain financing for the ring through the jeweler.

An engagement ring is something that can mark the beginning of a happy life together with your new partner. If you want to tie the knot, then maybe you are looking for the perfect engagement ring to propose to your loved one. However, these rings are not very cheap. Prices can exceed $5,000 in some cases. As such, it only makes sense that you might not be prepared for such an expense.

How can you pay for this when your budget doesn’t allow you to? Can you finance an engagement ring? This article will tell you everything you need to know.

Options for Financing an Engagement Ring

So, are you ready to propose? Chances are that you already have the perfect scenario in your head, as well as the image of the perfect ring. But you don’t have the funds for the ring, as it might be very expensive. How do you finance it? Here are some common options for financing an engagement ring:

Zero-Interest Credit Card

Credit cards are some of the easiest ways to pay for something when you’re on a low budget. But most of the time, they come with pretty high interest rates, so people are afraid to try this option.

However, zero-interest credit cards can be a great alternative when you want to finance an engagement ring. Besides having no interest, they also come with 15-21-month promotional periods.

With these cards, you must be very careful about how much you spend on the new ring. If the value of the ring exceeds 30% of the overall credit available on the card, it might decrease your credit score.

If you can qualify for a high credit limit zero-interest credit card, you should go for it. At the same time, you must make sure you can pay off the whole balance on time.

Buy Now, Pay Later

Did you choose the best engagement ring for your proposal, but you only have part of the sum it takes to purchase it? Don’t worry – you can go for a buy now, pay later service.

These services allow you to buy something in small installments instead of paying the full price upfront. So, you can get the item you want and pay the price partially, then pay off the rest over a set period, just like you’d do with a loan.

Buy now, pay later services are pretty new, but they’re a good and safe alternative for those less financially secure. A soft credit check might be done by the lender when you apply for this form of financing. However, your credit score doesn’t have to be perfect to qualify for BNPL, which is one of the best things about it.

At the same time, you must make sure that you make payments on time. Otherwise, your credit score will suffer.

Merchant Financing

Various jewelry stores offer merchant financing for people who don’t have the budget for a ring yet and want an easy and quick way to finance this important jewelry piece. Many stores partner with third-party lenders to provide people with the money they need for their preferred engagement ring.

You can easily take advantage of this online, through the online shop of the merchant, or in the physical store. At the end of it, you get to walk away with the ring, but also a commitment to pay off the balance monthly.

If you don’t have strong credit, you might still qualify for this form of financing.

Personal Loan for Engagement Ring

Another option you have if you wish to finance an engagement ring is a personal loan. Different lenders offer great loans for engagement rings. With these finances, you will be able to pay for any engagement ring you might’ve chosen. Afterward, you simply pay off the amount in installments every month.

Generally, repayment terms are between 2 and 7 years, depending on the case. Also, APRs for them start around 6%.

Cost of an Engagement Ring

The price of an engagement ring depends on different factors. Generally speaking, though, they can be expensive, and if you want to follow more “traditional” rules, the ring should be worth three whole months of salary. Not everyone has to follow this outdated rule, but even still, you might find yourself looking at quite pricey rings when you’re trying to find the best one.

The average price for an engagement ring was $6,000 in 2021, according to The Knot’s 2021 Jewelry & Engagement Study. This is a bit higher than in 2019 when the average price was $5900. Some rings can exceed $6,000 in price, though – it all depends on what you choose and what you think your partner will say “Yes” to.

In reality, the price of a ring is affected by the stone used, as well as the precious metal used in the creation of the jewelry piece. Even the ring’s setting, size, rating, and your geographical location can influence the costs.

For instance, a gemstone ring might cost you $2,500, whereas a clear diamond ring will boost costs to $6,800.

Best Loans for Financing an Engagement Ring

If you’ve decided a personal loan is the best way to pay for an engagement ring, here are some of the loans you can pick:

Best Egg

Best Egg has an amazing loan for people who want an engagement ring. The loan amount ranges from $2,000 to $50,000. Also, you can qualify with a score of 640. The APR is between 7.99% and 35.99%.

Happy Money

Happy Money offers loans between $5,000 and $40,000. It has fixed APRs between 7.99% and 29.99%. There is an origination fee, though.


Is your credit score not that great? If that’s the case, you can opt for Upgrade. The minimum credit score requirement is 600, and you can borrow between $1,000 and $50,000. As for the APR, it goes from 7.46% to 35.97%.

Engagement Ring Financing FAQ

Here are some commonly asked questions about engagement rings:

Can you finance an engagement ring?

Engagement rings can be financed through various methods. You can go for a personal loan, zero-interest credit card, merchant financing, or buy now, pay later services.

Can you finance an engagement ring with bad credit?

Yes, there are financing options even for individuals with poor credit. While zero-interest credit cards will be out of reach, you can still opt for personal loans, merchant financing, or BNPL.

Read More


So, can you finance an engagement ring? You certainly can do that in more than one way. People who cannot afford to pay for an engagement ring using their budget can go for a zero-interest credit card, personal loan, merchant financing, or a  “buy now, pay later” service. Before applying, you must make sure that you qualify for that type of financing.

Look into different loan providers and compare their rates before you choose yours.