The first kind of unsecured loan is a revolving account and is quite like a credit card in the way it works. You will probably get a card that has the store logo and information on it with your account number. You will be able to make minimum monthly payments against the balance of the cost of the purchase over a specified time period. Generally this is around 36 months or 3 years. The loan company may require you to put a minimum down payment on the jewelry and you can expect this to be around 10$ of the total cost of the purchase. Put as much down as you can upfront, this will decrease your overall balance from the get go. Here your monthly payments will be determined by the balance that you owe, and how much you put down. Good qualifiers for this kind of loan would be good credit history and limited cash flow. If you think your history may prevent you, getting a co-signer might solve your problem.
Another kind of unsecured credit from a jewelry store is known as a 90 day account. In this option, you pay your balance in full through three equally monthly payments without any interest. You will have to pay more initially, around 20-30% for your first purchase in store. If you establish a good credit history with the store, you may be able to reduce the down payment for future purchases.
Another kind of unsecured loan occurs when a jewelry store partners with a bank to finance your jewelry. Probably, this will be your best option, if your credit history can support it. With this type of unsecured loan, you are going to be getting bank rates and bank policies, instead of retail interest rates which are always much higher. This type of loan will certainly give you a lower rate, probably no money down or annual fee, and no-prepayment penalties. Further, it is possible for you to reuse this line of credit as you pay it down and you will be able to choose a longer term (up to 5 years) of repayment.
The author Ajeet Khurana is a web enthusiast and recommends that you visit Unsecured Loans and Compare Loans and Jewelry Stores.This article is free for republishing
Source: http://www.articlealley.com/article_158043_19.html
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