How did your BF/FI pay for the e-ring?

[goldenstar]

Hope i''m not being too intrusive, but i was just curious about how people commonly pay for the ring: cash, credit or a combination of both?

BF is thinking about his budget and it would be lower if he wanted to use all cash and higher if he wanted to finance a portion of it. I''m sure it depends on an individual''s priorities and current status, i''d just like to know how other people handled this purchase.

 

[Larissa]

It was bought from an antique website by wire transfer and the repairs were paid for by cash.

Mostly wire transfer.

 

[laine]

My ring has not been bought yet, so this is speculation...

While I love credit cards for convenience, I don't love credit cards for credit. I would not be comfortable with my boyfriend putting a ring on a credit card. I would rather wait longer or get less and have it paid for up front.

 

[ladykemma]

in 1994, hubby and i were each freshly recovering from the life disasters of alcoholism. we met and married , had a big AA wedding and all.

between us we had 5000 dollars. My hubby is exceedingly good with money. he /we decided we could spend 500 on a ring, the rest went for purchasing a house. so that is how i ended up with a top notch 1/4 carat ring in a plain solitaire.

many years later, the house has been paid for in full. we live "no debt" lifestyles. if I want something it goes on layaway til it''s paid for, or I buy secondhand.

I just finished a kasmir blue sapphire in a ballerina setting from helzberg for this year''s layaway project. When i do layaway I can sleep at night.

so you can have option C: layaway. it works great!

 

[robbie3982]

FI put my ring on layaway, but then charged the balance on his credit card when he didn''t have enough to pay for it when he wanted it. When I found out he charged it I payed off his card immediately. I figure it doesn''t matter whose account the money came out of. All of our accounts have both of our names on them now anyway.

 

[anchor31]

My FI is a big spender and is slowly taking control of his spending habits. He never had bad credit, always paid what he had to for that, but there would always be something on his credit card... Never had "enough money". Anyway, he''s getting much better, and the only condition I insisted on for the ring is that he didn''t go into debt for it and his credit card had to be empty before he paid for it.

So, he started saving up, we ordered it four months later and I paid for the setting as the deposit, then he paid for the rest in cash two months later.

 

[kcoursolle]

e-ring bank wire to james allen
setting cash

 

[AmberWaves]

We bought the setting on a whim at Robbins Bros. in January. In March he transfered the cash into my account and I placed the wire to Whiteflash when I found the right stone. So, cash?

 

[goldenstar]

Thanks for the responses, its been interesting to see the poll results.

 

[Scooba]

He spent a whole bunch of money cash, I would not have had it any other way. (I mean in terms of not paying cash)

 

[bee*]

D has the money saved up in his bank account at the moment so just need to wait until July to go get it!

 

[sumbride]

Down payment, and then monthly payments with no interest. Kind of like lay-away, only I get to wear it now! With that kind of offer, we figured our cash was actually worth more to us in hand. Credit is a confusing thing... using it isn''t always as evil as people think.

 

[Mimikins24]

He paid for the ring in cash. Some jewellers were willing to go lower with their prices when offered cash. My FI loves to bargain and get the most for his money!!! We ended up taking an 11 day trip to Florida because he found the style/size of ring we were looking for at a really great price. It is important to both of us that any "fun" stuff like jewellery and trips is paid for in cash.

 

[Tacori E-ring]

My DH used cash for both my stone and my e-ring setting. He hates using credit.

 

[AChiOAlumna]

My DH felt very strongly about paying for the ring in cash. He has this personal belief that if he couldn''t afford the ring, then he couldn''t afford to get married.

 

[firebirdgold]

I said cash, but it was sort of a combo. He saved the money, bought the ring with a credit card, and immediately paid it off!

 

[Dandi]

My DF did the exact same thing, Indie! He feels that if he can''t save up enough money to purchase something outright, he shouldn''t be buying it at all. He is exceptionally good with money!!

 

[janinegirly]

when people say "cash" do they mean put it on the credit card and pay it off immediately (via cheque/wire)? It seems unusual to me that people would pay for items with $5-$10K in cash..very rare that people make large cash transactions like that these days.
in any case, I haven''t even been proposed to yet, so can''t even comment

 

[jas]

My FI actually bartered a little -- he traded in gold coins he had for the ering and the wedding bands. He''d had the gold in a safety deposit box for years.

 

[goldenstar]

Date: 10/16/2006 9:01:05 AM
Author: janinegirly
when people say ''cash'' do they mean put it on the credit card and pay it off immediately (via cheque/wire)? It seems unusual to me that people would pay for items with $5-$10K in cash..very rare that people make large cash transactions like that these days.

in any case, I haven''t even been proposed to yet, so can''t even comment

What I meant by the question is whether or not people went into debt for the ring. So a credit card paid off immediately would count as cash because the buyer had all the money for it at the time. I was curious as to how people managed their budget.

 

[allycat0303]

Actually I''m surprised people have credit cards with that big amount, it would always strike me as bing too tempting to go insane and buy something crazy..... I think most people do this bank wire. I don''t even own a credit card, so for big purcheses of 5-6K I do certified check, or personal check. I''ve paid for a lot of really big purchese (nw roof for house, new windows for house) in cold hard cash though. I feel unsafe with a credit card of high limit because I have an alarming tendency to lose things

 

[janinegirly]

ally, welcome to 2006, there''s no need for cash anymore, cash is risky and old fashioned. Withdrawing large amounts of cash also raises red flags for money laundering. Credit card purchases offer protection against fraud, a paper trail etc. Most people who are considering marriage should have a healthy credit line I would hope, and it doesn''t mean you spend to the limit! I never go anywhere near my limit (i spend 2K a month at most, and have a credit line close to 10x that amount). but it''s good to have the option for big purchases, trips, jewelry, emergencies, etc. etc. just in case.
There are people who have no financial discipline who put crazy things on their cc and leverage their credti for items they can''t afford (stupid), but those types of people would be no more disciplined with hard cash.

 

[allycat0303]

Janine, I actually think that cash is safer then credit/debit. I rarely used debit, and I did last year, and the bank called me 2 weeks later to say that the number of my card had been stolen so my debit card needed to be reissued. This huge freaking hassle. My sister has a credit card, and last year TWICE she found that on two serperate occasions the store had charged her twice the amount.

And I had a friend last year, who did online banking and had a hefty credit line that was EMPTIED completely. She wasn't held liable but the hassle was insane.

I think that credit card's are more dangerous, because you spend money that isn't yours, and then you are charged intrest. In contrast, with cash, YES, it's gone, but you aren't going into debt over it, and you aren't going to be charged intrest. With hackers, identity theft, etc., I'm inclined to think that it's easier to get your hands on the important details.

In any case, this is a cultural thing. I think. My parents have 1 credit card with a $1000 limit, because they have access to much more liquid cash, then a credit company would ever give them. They bought their current house in cash, and were rather disappointed that when my ex-and I bought our house before we could afford it WITHOUT A MORGAGE. Which I think is a bit extreme, because very few people buy a home without a mortgage.

As for money laundering, the only time I was asked that question was when we put the downpayment on the house, it had to be clear what was coming from me and what was coming from him. We had to write a letter, notorized, etc., but I suppose I don't worry that much about red flags, because, my life has no red flags.

 

[goldenstar]

i agree janine, i have no fear of credit cards because of the fraud protection. i''ve lost cards before and they cancelled them right away. if someone charged something i wouldnt be responsible. also, i''d rather lose my credit card than a wallet full of cash.

also, the credit companies offer some protection that you wouldn''t get with cash. one time i bought something on ebay and i paid for it but the item got lost on the way to me. i disputed the charge with the credit company and it was reversed. also, one time i brought plane tickets and the airline went bankrupt, ceased operating and didn''t offer refunds. credit company took care of that one too.

One thing a lot of people do (like my BF) is put EVERYTHING on their credit cards and pay it in full each month in order to get airline miles. it works great and you develop a good credit history. but you have to be disciplined enough to spend only what you can afford and pay in full.

even if people have tons of "cash", its important to have a credit history so banks will know they can trust you and will lend you money when you need it (usually when buying a house or starting a business). so having and using credit is a must.

 

[allycat0303]

Oh I just wanted to add. When we bought our house, we had NO CREDIT HISTORY to speak of. NONE. The very first bank we went to pre-approved for twice the amount we needed (at the most competitive rate which was 4.25% at the time) based on our downpayment, and his salary. I had untold worry over not being approved, so I think that college students that open credit cards with the hope of establishing credit history is really dangerous.

 

[janinegirly]

i agree it might be cultural and generational, but buying on credit allows for more leverage which allows for income growth and increased purchasing power--it''s foolish ignore the benefits b/c of fears. (Of course the stipulation is you should only buy on credit if you can afford it or have solid credit). For example, buying a house in cash means the cash is gone and you realistically would have to wait years and decades to buy the house of your dreams with cash in the bank. Buying a house with a mortgage (and good credit which requires a credit card!) means you NOW have equity in a house beyond what you can afford (but reap all the benefits of appreciation and tax breaks--this is how people get richer!). They can then sell the house and benefit from a hot market (hopefully) without ever having put down the entire amount. Sure credit/debit cards can be stolen. So can cash, jewelry, identity, social security card, passports. All are hassles, but if you''re someone who isn''t careless, you''re probably fine. And if cash is gone, it''s GONE. If a credit card is stolen, the onus is on the credit card company to cover the loss---you can report the card stolen and are not responsible for any fraudulent charges.Iin the near future, there will be no need for cash at all..it''s just very old fashioned and is the slowest way of appreciation. JMHO. And sorry for the hijack!!!

 

[janinegirly]

sorry ally, i really don''t get how college students opening credit cards is "really dangerous". Only if they do not pay off their balances on time. If they pay off their balances each month, they will have a solid credit history which will follow them into adulthood and allow for preferential treatment for mortgages, lease approvals,etc.
It''s all about discipline. It''s not the credit card''s fault if someone has no discipline and gets themselves in a hole, it''s the individuals! Usually a college student with no income is not going to be given a credit card without a downpayment to show a financial track records (like money in a CD) or they''ll be required to have a sponsor, like a parent as a signatory on the account.

 

[repartee]

I hardly pay for anything in cash anymore unless there''s a hefty discount. Everything, and I mean everything, gets put on my credit card as we get miles. Yup, that''s me in line at duane reade paying for my gum with my MasterCard. This only makes financial sense, though, if you have the discipline to pay off your balance every month. And I agree with the above poster that the credit card companies do provide some protection in case of fraud, damaged goods, etc. Plus using my credit card makes it much easier to track my expenses. We have in New York what''s called the "door tax"...every time you''re out the door, $20 just "disappears"...

Grace

 

[allycat0303]

As I said, we bought the house with no credit history no (I assume credit rating). I agree on buying a house on mortgage. As we did. I don''t aggree on buying anything else on credit, because to me it''s not real purchasing power. Which is fine Janine. We have different ways of looking at how to manage our finances. Doesn''t make anybody old fashioned or outdated. And you can disagree. But that doesn''t necessarily make me wrong either.

 

[anchor31]

Date: 10/16/2006 9:01:05 AM
Author: janinegirly
when people say ''cash'' do they mean put it on the credit card and pay it off immediately (via cheque/wire)? It seems unusual to me that people would pay for items with $5-$10K in cash..very rare that people make large cash transactions like that these days.
in any case, I haven''t even been proposed to yet, so can''t even comment

No, I meant he paid in cash. I paid for the setting with debit as the deposit, then once the ring was done he withdrew the amount from his bank account and paid for the ring. It wasn''t 10k though... Less than 3k.