Q&A: Steering Clear of Being Ripped Off…

I’m so glad I found your site! The information you provide are incredibly helpful!

First off, thank you for taking time to answer my questions. Any recommendations/suggestions will be greatly appreciated!

During the process of engagement ring hunting, I came across this dilemma: I found (2) rings that I like, one is from a jeweler & the other one is from Costco. Now the one from the jeweler will come w/ Lifetime Guarantee Service (costs about $200) and the one from Costco comes w/ nothing, so basically if anything happens to it, I’m on my own. Despite the fact that Costco is a wholesaler, many people talks about how Costco diamonds have incredibly good value, but not having the Lifetime Guarantee thing is one of the cons (the other one being they can’t resize it for you). So my question is, how important is it to have the Lifetime Guarantee & Service/Protection Plan?

When we buy diamonds, many people must have the diamond certificates from GIA or the appraisal from IGI, how important is it to have these paperwork? If the ring doesn’t come w/ an appraisal report, is it necessary to get one for insurance purposes?

Another deciding factor of course it’s the price. The ring I like from the jeweler is advertised as 50% off its regular price, so seems like it’s a deal that can’t be passed up. However, Costco diamonds will never go on sale but they seem to be known to have great values as well. Here are some specs on the two rings:

Ring #1 from jewelers: 1.75 ctw, radiant cut .60 ct stone w/ halo settings, I color, I1 clarity $3,400 (reg price $6,800), does not come w/ any paperwork about the diamond
Ring #2 from Costco: 1.34 ctw, round cut .90 ct stone w/ halo settings, I color, VS2 clarity $5,500, comes w/ a GIA certificate

Unfortunately I do not have pictures of these 2 rings, but can you give me some advice on which of these factors are the most important? Of course it would be best if you can tell me which ring is a better value!

Thank you so much!