Overview

The press release provides a practical guide for couples planning to purchase diamond jewellery for weddings on an EMI basis, emphasizing the need to integrate jewellery costs into the overall wedding budget, which typically ranges from a tenth to a fifth of total wedding expenditure.

Budgeting Guidance

It advises couples to set a realistic jewellery budget early, accounting for venue, catering, outfits, photography, travel and any existing gold holdings. Key pre‑purchase considerations include clarifying who pays for what, identifying inherited pieces, maintaining a small buffer for last‑minute additions, and establishing a hard ceiling that includes tax and making charges.

Prioritising Jewellery Pieces

The guide categorises jewellery into four priority levels: Must‑have (engagement ring, wedding bands, ceremony‑required items), High‑use (earrings, pendant, bracelet suitable for daily wear), Occasion pieces (statement necklace or bridal set for specific functions), and Optional items bought mainly to match an outfit. It notes that pieces usable across multiple occasions deliver better value per rupee.

EMI Calculator Mechanics

An EMI calculator takes three inputs – the principal (purchase price minus any down payment), the annual interest rate offered by the lender, and the repayment tenure in months – and applies the standard formula: EMI = P × r × (1+r)^n ÷ ((1+r)^n − 1), where r is the monthly interest rate and n is the number of months.

Illustrative Example

Using round numbers, a ₹1,00,000 diamond piece with zero down payment financed over 12 months at 12% per annum yields an approximate monthly instalment of ₹8,885 and total interest of about ₹6,600. Extending the tenure to 24 months reduces the monthly payment to roughly ₹4,707 but roughly doubles the total interest paid.

Key Levers Affecting EMI

  • Down payment: A larger down payment lowers both the monthly instalment and the total cost.
  • Tenure: A longer tenure reduces the monthly instalment but raises total interest.
  • Interest rate: A higher rate increases both the monthly instalment and total cost.
  • "No‑cost" EMI: May embed interest in the product price or fees; buyers should compare the effective price with the cash price.

Eligibility and Fees

Financing approval is not automatic; lenders assess credit history, income and existing obligations. Buyers should obtain written confirmation of:

  • Eligibility criteria (minimum income, credit score, card type)
  • Processing fees and applicable GST
  • Down‑payment requirements and timing
  • Foreclosure or pre‑payment charges
  • Late‑payment penalties and credit‑reporting implications
  • Return and exchange rules affecting the EMI schedule

The guide also warns that a card‑based EMI reduces the available credit limit and that combined loan loads are considered by lenders.

Decision Checklist

Before finalising a purchase, couples should verify:

1. The monthly instalment is affordable after rent, bills, savings and other EMIs.

2. The total repayment amount is acceptable, not just the monthly figure.

3. They would remain comfortable if one partner’s income dipped temporarily.

4. Every piece on the list is one they will actually wear.

If any answer is hesitant, the guide suggests shrinking the list or increasing the down payment.

Disclaimer

The content is presented as a press release arranged with NRDPL, and PTI disclaims editorial responsibility for the material.