Reply
Member
tempnexus
Posts: 5
Registered: ‎05-15-2007

I am thinking of getting a card to put an engagement ring on it, is it a good idea?

Ok here is my story, my credit is not so hot (mid 650's) and I had previous default on a student loan (2003...paid it off within 3 months, default since I moved and the student loan company could not find me to send me the bill...such is life). So now I have only 1 active CC (very low millage) and 1 closed CC (that I am paying off. not much left)...(plus more student loans). Now I was thinking of getting one of those skymile credit cards (yearly fee) and charging an engagement ring to it, so that way I can rack up some miles. However, would opening a large credit line credit card really hurt me? Especially if I am about to max it out (I mean I can probably pay it off in 2 months...I just want the miles). Or should I just buy the ring via normal way. Thanks. The ring will be in terms of 2 to 3K.
Established Contributor
dog
Posts: 560
Registered: ‎05-03-2007

Re: I am thinking of getting a card to put an engagement ring on it, is it a good idea?

getting the amex skymiles card is an excellent idea....it's the getting married part that i would like to warn you about!
New Contributor
Migraine
Posts: 50
Registered: ‎05-03-2007

Re: I am thinking of getting a card to put an engagement ring on it, is it a good idea?


dog wrote:
getting the amex skymiles card is an excellent idea....it's the getting married part that i would like to warn you about!





hehe :smileyhappy:

It might,IMO ,be easier to get a jewelers store card.They tend to be more lineant
Member
tempnexus
Posts: 5
Registered: ‎05-15-2007

Re: I am thinking of getting a card to put an engagement ring on it, is it a good idea?

Yeah merriage. :smileysad: I am just afraid that taking our a new CC with such a high limit and then coming close to it might really hurt my score.
Regular Contributor
flyers
Posts: 216
Registered: ‎04-19-2007

Re: I am thinking of getting a card to put an engagement ring on it, is it a good idea?



tempnexus wrote:
Yeah merriage. :smileysad: I am just afraid that taking our a new CC with such a high limit and then coming close to it might really hurt my score.

It will definitely hurt your score in the short term.  But if you pay it off within a few months or at least get it down to 1-9% util in 2-3 months your score will rebound quickly.
Valued Contributor
Boswd
Posts: 1,065
Registered: ‎04-26-2007

Re: I am thinking of getting a card to put an engagement ring on it, is it a good idea?

Hmmm that depends.  overall if you can pay for the ring in cash through savings that is the best bet, the less debt you have going into a marriage the better,  depending on the amount of the ring.  but if you have to finance it, it would be better to pay for it on the credit card.   You would get a much better deal interest rate wise than through any jewler.  I would not recommend financing it through the jewlers or getting a jewlers card, you'll be paying off that ring far longer than you would like. 
 
If you finance it through the card, it the short term it would hurt your score because of the utilization from the ring but it would improve as you pay it down plus you could score some points, if Delta sky miles, for your honeymoon:smileywink:   I would absolutly stay as far away from Jewler's cards or financing it throught them.
 
So I would approach in this order
 
Cash, if possible
Credit card
Jewler financing, only only as a last resort. 
Valued Contributor
SmartCookie
Posts: 2,010
Registered: ‎07-01-2007

Re: I am thinking of getting a card to put an engagement ring on it, is it a good idea?

[ Edited ]
Oh congrats! 
 
That seems to be a good card if you qualify from what I am reading.  Keeping in mind you are really hoping to rack up some miles with this purchase, I also recommend Chase UAL Visa... IMHO it might even be a scratch easier to get approved and get a good CL.  Fee is $65 annually I believe and the first year may be free.  Second year they will waive it or bonus your miles if you squeak loud enough.  I think their offer right now is 20k miles to your UAL account, and it's really easy to rack up UAL miles in other ways with them as well, in addition to card purchases.
 
I'd pay off that active card personally and keep it open of course.  Before you think of applying for new credit, is there anything else you can do quickly and easily get your score even higher?  For instance that closed card... any lates on it that you might want to get a GW letter out on etc?  Something to really consider. 
 
Whether or not you get a new card, or wind up getting a CL increase on your current after you pay it off...I highly recommend diamond.com for GIA diamond rings.   They will, upon credit approval, split your total cost over 5 payments to your credit card with no interest on their part.  That would keep your utilization lower especially if you split and paid off monthly payments 2x a billing period.  Also, they don't tie up your credit limit on the card with the total amount while it is being paid off.  Great customer service if you want to just talk with someone call them... they aren't pushy at all.  They'll also work with you if lets say you want to put 1000 down as your first payment and split the remainder etc... whatever works for your particular wishes.  Love 'em! 


Message Edited by SmartCookie on 07-02-2007 02:07 PM
EQ 787 EX 781 TU 737 11/17/07 *** I am not an attorney. If I was, I might not clip coupons. If you want legal advice, consult an attorney. If you want my personal opinion, feel free to consider my posts***
Super Contributor
MidnightVoice
Posts: 8,158
Registered: ‎03-25-2007

Re: I am thinking of getting a card to put an engagement ring on it, is it a good idea?



SmartCookie wrote:
 
 I also recommend Chase UAL Visa... IMHO it might even be a scratch easier to get approved and get a good CL.  Fee is $65 annually I believe and the first year may be free.  Second year they will waive it or bonus your miles if you squeak loud enough.  I think there offer right now is 20k miles to your UAL account, and it's really easy to rack up miles in other ways with them as well.
 


Got one at 668 EQ FICO, $2000 CL, 18.x% APR, first year free, $60 per year after that.
The slide from grace is really more like gliding
And I've found the trick is not to stop the sliding
But to find a graceful way of staying slid
Valued Contributor
SmartCookie
Posts: 2,010
Registered: ‎07-01-2007

Re: I am thinking of getting a card to put an engagement ring on it, is it a good idea?

Thanks for that info MidnightVoice.  As luck would have it I was curious about  those EQ FICO specifics for someone else.  Appreciated!
 
I love that card.
EQ 787 EX 781 TU 737 11/17/07 *** I am not an attorney. If I was, I might not clip coupons. If you want legal advice, consult an attorney. If you want my personal opinion, feel free to consider my posts***
Super Contributor
MidnightVoice
Posts: 8,158
Registered: ‎03-25-2007

Re: I am thinking of getting a card to put an engagement ring on it, is it a good idea?

I got it because I fly United a lot (currently 90,000 miles plus one freee ticket plus one worldwide free upgrade)  :smileyvery-happy:
The slide from grace is really more like gliding
And I've found the trick is not to stop the sliding
But to find a graceful way of staying slid

myFICO is the consumer division of FICO. Since its introduction 20 years ago, the FICO® Score has become a global standard for measuring credit risk in the banking, mortgage, credit card, auto and retail industries. 90 of the top 100 largest U.S. financial institutions use the FICO Score to make consumer credit decisions.

>> About myFICO
FICO Score - The Score that matters
Fair Isaac Corporation is a BBB Accredited Financial Service in San Rafael, CA
FOLLOW US Social Media Facebook Twitter Pinterest Google+