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Whether you need to pay for an emergency root canal or have unexpected home repairs, sometimes those bills can’t wait for your next paycheck.

If you’ve researched how to access cash quickly, you might wonder if online payday loans are the answer. Lenders that offer payday loans typically promise you things like quick applications, no credit checks, and expedited approvals. They may say you’ll get the cold hard cash you need the very next day. But interest rates can be very high and create debt problems for borrowers. Learn more here so you can make the right choice when you need cash fast.

How Do Payday Loans Work?

Payday loans are called that because they’re meant to be paid back the next time you get a paycheck. They’re generally for small amounts, and usually don’t require collateral or even necessarily a credit check.

The catch? Payday loans come at a price — and a high one, at that. They can have interest rates of 400% or even higher, depending on the lender you choose and which state you’re in. (Some states have stronger protective laws, including rate caps.)

Such high-interest rates and other associated fees can quickly lead to situations where you end up getting behind on the loan. You may end up having to borrow more and more in order to pay back the money you borrowed, especially since the loan might come due in only two weeks or a month. Soon you may be in a hole so deep you might not know how to get out. It can be costly, greatly damage your credit, or even lead to bankruptcy.

Recommended: What Are Common Uses for Personal Loans?

How Much Does a Payday Loan Cost?

The short answer: a lot. Here’s a specific example.

Say you take out a $500 payday loan at an annual percentage rate (APR) of 300%. You would only pay that full 300% if you took a whole year to pay off the loan because the APR is what you would be charged in interest over 12 months.

However, even if you only borrow money for one month, you’d have to pay 1/12 of 300%, which translates to 25%. Here’s where the math gets ugly: 25% of $500 is $125, which means that when your loan comes due at the end of its very short term, you’ll owe $625. This amount might be tough to meet, especially if you’re in a situation where you needed a payday loan in the first place.

What Is a Direct Payday Loan?

Payday loans are offered by a wide variety of vendors, but for the most part, they break down into two categories: direct payday loans and those offered through a broker.

With direct payday loans, the entire loan process, from application to funding to repayment, is all managed by the same company. Although these can be slightly better than indirect loans — which may involve multiple fees, longer funding wait times, and harder-to-pin-down communication — they’re still generally considered a bad idea.

Why Is it Best To Avoid Payday Lending?

Other than the possibility that you can get money quickly if you have bad credit, there aren’t many benefits associated with payday loans. You’ll end up paying a significant amount in interest, and you’re usually expected to pay the money back in a very short period of time — usually within two weeks or so.

The interest on your loan can also compound daily, weekly, or monthly. This means that interest charges will start accumulating on the interest you already owe, which will inflate your loan balance even more.

Depending on how much you borrowed and your financial situation, compounding interest can make it incredibly difficult for you to pay back the loan. Many times borrowers end up taking out additional loans to pay off the payday loan, which can lock them into a seemingly endless cycle of debt.

You’re also unlikely to be able to borrow a large amount of money because payday and fast cash loan lenders typically have low maximum borrowing amounts.

What’s more, you won’t even be building your credit if you do manage to pay the loan back on time, because most of these lenders don’t report your behavior back to credit bureaus. In contrast, above-board lenders will report back to credit bureaus when you’re paying your bills on time and in full, and that can positively impact your credit score.

What Are Some Alternatives to Payday Loans?

In an ideal world, you’d avoid any kind of consumer debt. But sometimes it’s simply unavoidable. There are financially favorable alternatives to consider before you sign up for a risky payday loan.

Paycheck Advance

The best kind of money to borrow is money you’ve already earned. While not every employer offers it, a paycheck advance can be a relatively low-risk way to fund last-minute emergencies. An advance on your paycheck basically means getting paid earlier than you normally would, with the balance deducted from your future paycheck.

But tread carefully: Many employers offer paycheck advances through apps and platforms that may assess a one-time fee or even charge interest. While the rates may not be as astronomical as payday loan rates, it’s still worth taking a second look at the paperwork to ensure you understand what you’re signing up for ahead of time.

Recommended: What to Know About Credit Card Cash Advances

Debt Settlement

Another option is debt settlement, which is where you offer a creditor a lump sum payment on a delinquent debt — a lump sum that often ends up being far less than the original amount you owed.

However, doing this does require some negotiating, and sometimes even some legal know-how, which is why many people seek the help of professional debt settlement companies. This, too, is tricky, because scams abound, and some debt settlement companies may try to charge exorbitant fees to “eliminate your debt,” all without actually doing any work on your behalf. The Federal Trade Commission has more information on debt settlement and how to look for a reliable firm if you choose to go this route.

Personal Loans

Many types of personal loans are unsecured loans — meaning no collateral is involved — that can be used to pay for just about anything. And although they tend to have higher interest rates than secured loans, like mortgages or auto loans, those rates are still much lower than payday loans.

With its lower interest rate and longer-term, a personal loan will likely cost you less money than a payday loan in the long run. And some online personal loan lenders can process your application quickly and even get you the money you need in a matter of days.

Unlike payday loans, you have to go through a credit check to qualify and get approved for a personal loan. However, if you have a steady income and meet the lender’s eligibility requirements, you’re likely to qualify for a lower interest rate than you would if you used an online payday loan.

Your repayment timeline could also be less stressful if you opt for a personal loan rather than a payday loan. Personal loans come with the option of longer terms — a few years, for example, instead of a few months.

And because you can pay your loan off over a longer-term, your monthly payments might be more manageable than a payday loan. There also tend to be fewer fees attached to personal loans, and you might be able to borrow more because personal loans have higher loan maximums.

Personal loans aren’t much more difficult to apply for than payday or fast cash loans. You can typically get pre-qualified online by answering a few questions about your income, financial history, and occupation.

Recommended: Personal Loan Calculator

The Takeaway

When you need money quickly, payday loans — and their promise of fast money — can be tempting. But you’ll want to proceed with caution. These loans generally come with very high interest rates and associated fees, and you may only have a couple of weeks or so to pay back the money you borrowed. There are less-risky alternatives to consider, including paycheck advance, debt settlement, or a personal loan.

Think twice before turning to high-interest credit cards. Consider a SoFi personal loan instead. SoFi offers competitive fixed rates and same-day funding. See your rate in minutes.

FAQ

What is a disadvantage of a payday loan?

Payday loans generally come with high interest rates and associated fees. What’s more, you typically have to pay back the money you borrowed on your next payday.

Are payday loans a good idea?

Payday loans are usually not the top choice when you need cash quickly. That’s because they often come with high interest rates and tight repayment timelines.

What is the catch to payday lending?

The catch to payday loans is that borrowers are typically charged very high fees and interest rates.

Are payday loans easy or hard to pay back?

With their high interest rates and fees and short repayment timelines, payday loans can be difficult for borrowers to pay back on time.

Can payday loans hurt your credit?

While payday loans are unlikely to build your credit score, they can hurt your credit if you don’t pay back your loan and your lender sends the debt to a debt collector.

SoFi Loan Products
SoFi loans are originated by SoFi Bank, N.A., NMLS #696891 (Member FDIC). For additional product-specific legal and licensing information, see SoFi.com/legal. Equal Housing Lender.

SOPL-Q225-097

A cross-country move is exciting, but if you own a car, you’ll have to make a big decision about how to take your wheels with you. Will you drive your car yourself or hire a shipping company to move it for you?

There are a lot of considerations to keep in mind when making this decision, from weather to safety to timing. And of course, there are shipping costs to think about. To make the right choice, take the following factors into account.

Driving Distance

Getting your vehicle to your new home could be one of your biggest moving expenses. When deciding whether to drive or ship your car, the first step is to get a sense of how long the drive actually is. Use a mapping app to get a sense of the various routes you could take, the total distance, and a driving time estimate.

Understanding distance can help give you a sense of how much fuel you’d need to make the journey. Consider how many miles per gallon of gas your car usually gets. Divide the total distance by that number, and that can help you create a rough estimate of how much gas you might expect to purchase.

You may also want to factor in the average gas prices in the locations you’ll be driving through. The American Automobile Association (AAA) aggregates the average price for a gallon of gas in each state, and nationally.

Mapping can also give you a sense of what kind of conditions you can expect to be driving in. For the most part, you may expect to take major highways. But will your route take you across mountains or deserts? These regions might be tough on a vehicle, especially if it’s older and prone to overheating, for example.

Recommended: How to Save Money on Gas

Seasonal Considerations

The time of year you plan to move can make a big difference when it comes to driving conditions. Driving in balmy July weather can be very different from driving through wintry conditions in February, especially if your trip takes you across the northern part of the country where there is a chance of snowy or icy conditions.

Take geographical features, like mountains, into consideration as well. For example, there may be snow in mountain passes far earlier than in places closer to sea level. So, though moving to another state cross-country in October may be mostly snow-free, you might encounter wintry conditions as you cross the Rocky Mountains.

If driving through adverse weather does not sound appealing to you, you may consider shipping your car instead.

Recommended: How to Move Across the Country

Timing

Driving from coast to coast at a fairly reasonable clip could take as little as a few days or as long as a week. If you’re driving with someone else, you can switch off drivers and the trip may take less time.

If you’re driving solo, you may take extra time as you make stops to ensure you’re well rested enough to safely continue your journey. If you can’t afford to take the time off to drive your car yourself, shipping may make more sense.

Recommended: 13 Helpful Tips for You to Afford Moving Out

Safety

When you drive across the country, you necessarily put yourself and any passengers at a certain amount of risk. Your car will experience more wear and tear on a long drive, and you face the possibility of breakdowns.

What’s more, you risk the possibility of theft while you’re on the road, whether of your vehicle itself or its contents.

There is also a chance that you could get into an accident while on the road. Shipping your car limits potential damage to your vehicle and shields you from personal safety hazards.

Recommended: 31 Ways to Save Money on Car Maintenance

Cost to Ship a Car

The cost to ship a car across the country will depend on a number of factors, including the size and weight of the vehicle, the distance the vehicle will be shipped, and what kind of insurance you want to buy.

To a certain extent, price may depend on demand, which can fluctuate throughout the year. The more cars are being shipped along a certain route, the pricier it will be. While prices vary, September through November are generally the cheapest months to ship a car.

On average, it costs around $1,530 to ship a car cross-country on an open trailer as of mid-2025. Again, price depends on the specific locations you are shipping the car to and from and the mode of transportation (open trailer or otherwise), so expect some variation in quotes. the length of trip, but also on whether you choose an open transport or an enclosed transport.

You may also want to consider the option of shipping your car by train, which may be faster and cheaper than sending it on a truck. You may have to purchase a ticket and ride the same train that your car is on.

When considering shipping as an option, it’s also important to consider other potential costs associated with it. For example, you will have to purchase plane tickets for you and your family. If you drive your own car, you can pack it full of items you want to move with you. When you arrive at your destination, you may need to rent a car until your own vehicle arrives.

Recommended: Guide to Unsecured Personal Loans

Cost to Drive a Car

In many cases, it may be cheaper to drive your car than it is to ship it. According to Move.org, it is, on average, about $180 cheaper to drive a car than to have it shipped, factoring in the costs for food, lodging, and fuel for one person.

Lodging is one of the greatest expenses you will encounter while you’re on the road. The more nights you spend on the road, the more expensive driving your car yourself will become. You can of course consider less expensive options, like staying in an Airbnb or visiting with friends along the way.

Making the Decision

As you tackle your moving checklist, the decision to to drive across the country or ship your car will depend on a lot of factors. In some respects it comes down to convenience. Do you have the time to ship your car? Will you need it right away? Do you want to risk driving in poor conditions? In other respects it comes down to cost.

For the most part, driving costs less than shipping. However, the longer the drive, the difference in cost between the two options starts to shrink.

If you decide to ship your car, do your research. Ask friends and family for recommendations and check out company reviews and reports from the Better Business Bureau. Contact multiple shipping companies to make sure you get the best rate.

No matter what you decide, moving is potentially a pricey proposition. If you need a little extra help covering the cost of the move, consider a moving loan. These loans are personal loans that can cover the cost of shipping your car and other moving related expenses.

Recommended: How to Apply for a Personal Loan

The Takeaway

The decision about whether to ship or drive your car cross-country is an important one involving several factors. For instance, while driving it yourself may be cheaper, can you afford to spend the time on the road? Will the weather cooperate? Considering the big picture can help you make the right decision for your situation.

If you are moving cross-country and need help with financing, a personal loan might be a good move.

Think twice before turning to high-interest credit cards. Consider a SoFi personal loan instead. SoFi offers competitive fixed rates and same-day funding. See your rate in minutes.

FAQ

Should I drive or ship my car cross-country?

The decision about whether to drive or ship your car cross-country depends on your situation. Can you afford to ship it? Can you take several days off work to drive cross-country? Will the weather while driving be safe, and can your car take the wear and tear? Think about these considerations to make your decision.

What is the cheapest way to get a car cross-country?

Shipping a car cross-country on an open trailer is likely the cheapest way to get it from one coast to another.

What is the average cost to ship a car cross-country?

Shipping a car cross-country on an open trailer currently costs about $1,530.

SoFi Loan Products
SoFi loans are originated by SoFi Bank, N.A., NMLS #696891 (Member FDIC). For additional product-specific legal and licensing information, see SoFi.com/legal. Equal Housing Lender.

SOPL-Q225-083

Curb appeal not only makes your home more attractive and inviting for you and your family, it could also boost your property value. Adding a few simple exterior upgrades can make your place feel more enjoyable however long you decide to live there and be an asset if you decide to move.

Looking for inspiration? Here are five curb appeal ideas to consider.

1. Revitalize the Front Door and Mailbox

A fresh coat of paint on a front door can do wonders, and certain colors can be especially appealing. For instance, buyers tend to prefer homes with a black front door and may be willing to pay an average of $6,450 more for one, according to Zillow’s 2025 data. On the other hand, other front door colors, such as cement gray, could have a negative impact on a home’s value.

This can also be the time to update the doorknob and door knocker, and any hardware on the door, including the street number. While you’re at it, what about a matching new mailbox? They even come with LED lights nowadays to do double duty.

2. Curb Appeal Landscaping

When choosing landscaping elements, keep the design of the home in mind, along with the size and slope of the lawn. A large lawn might look wonderful with shrubs that would likely overwhelm a smaller one, while eye-catching flowers might look perfect in front of a cottage-style dwelling but get lost in the shuffle in front of a big modern home. For curb appeal landscaping, also consider how its design moves guests to the front door, perhaps wending along the walkways.

Entire books can be written on curb appeal landscaping options, so enjoy exploring! While doing so, don’t forget how attractive window boxes full of blooming flowers can look. Consider integrating native flora, which have already adapted to your local climate and soil conditions and should thrive in your yard. This can be a plus in terms of being low maintenance and not needing additional watering.

3. Upgrade Windows and Shutters

For a significant change in the look of a home, consider a brand-new style of windows. Options include eye-catching casement windows that are hinged to crank open. With these windows, one side stays in place while the other side opens like a door.

Awning windows can be another interesting choice. With this style, the window swings open from the bottom while the top part stays fixed in place. Bay windows can also really make a difference in curb appeal. Also consider new shutters, perhaps ones that complement a newly painted front door.

4. Don’t Forget the Lighting

As part of curb appeal landscaping, also think about outdoor lighting that will highlight the new look. A new fixture on the porch can make a difference aesthetically.

Along the front of the home and walkways, outdoor solar LEDs can be one option because they aren’t hard to install and can be cost efficient. They don’t create bright light, though, so they can be used as a form of supplementary lighting.

Traditional glass lanterns can be attractive, especially when paired with vintage-style bulbs. Ones that mimic the gas lanterns of the Victorian era have been trending.

5. Repair the Roof

If the roof has loose or missing shingles, this can make even the most appealing home look in need of some tender loving care. So, addressing these problems can add to curb appeal. As part of the project, check gutters and downspouts and take care of them as needed.

Costs for Upgrades

After thinking about what projects to take on, the next question to consider may be what these home remodeling projects cost.

New Front Door

A new door can cost under $100 for a basic hollow core choice up to $7,000 or more for a pricey wrought iron door. Installation can add $1,452 on average, according to the home improvement site Angi as of mid-2025. If you’re on a budget, you may want to consider painting an existing door and replacing hardware and a doorknob.

Landscaping

As with just about any home improvement project, curb appeal landscaping costs can vary by project. Landscaping services run around $50-$150 per hour on average, and if you’re buying flowers, shrubs, or trees vs. just maintaining your current grounds, that will add to the cost as well.

New Windows

On average, new windows cost $300 and up, with costs varying based on size, location, materials, and other factors. Some news windows can be in the thousands each (such as a large bay window). The cost for replacing all windows in a typical three-bedroom home can run about $7,655 on average as of mid-2025 according to Angi. That said, the investment may be worth it, as new energy-efficient windows can help you save a bundle on energy bills.

Roof Repairs

A moderate roof repair currently costs $1,000 to $3,000, with a major repair costing $3,000 to $6,000 or more on average. If a full replacement is needed, that could ring up between $5,700 and $16,000. Repairing the gutters can come with an average price tag of $390.

Funding Your Curb Appeal Ideas

As much fun as it is to dream of all the ways to improve the exterior of your home, just as important is how you’ll pay for the upgrades. You may decide to pay for the improvements out of a savings account or put everything on credit cards and pay off the balances in full when they’re due.

Keep in mind that if you choose to use credit cards — but are unable to pay off the balances in full when they’re due — you’ll likely be charged compound interest on the balance. And that could add to the overall amount you owe. To see how compound interest can pile up, take a look at this credit card interest calculator.

If it doesn’t make sense to use credit cards to fund curb appeal ideas, then you may want to explore a home equity line of credit (HELOC) or a personal loan.

Taking out a HELOC can make sense under certain circumstances, including these:

•   Significant equity exists in the home.

•   A large sum of money is needed.

•   Potential tax benefits are attractive.

Benefits of a personal loan include the following:

•   If the loan is unsecured, then home equity will not be tied up.

•   Fees are probably less; in some cases, there aren’t any.

•   The application process is usually easier, with the approval process typically quicker than the process for a HELOC.

You may find personal loans created just for home-related purposes marketed as home improvement loans.

What Style Is My House Exterior Quiz

The Takeaway

Improving your home’s curb appeal can help make it more attractive to prospective buyers and potentially increase its perceived value. The upgrades can also make your home more enjoyable to live in, no matter how long you’re there. High-impact upgrades include freshening up the front door and mailbox, adding or improving the landscaping, upgrading windows and shutters, adding outdoor lighting, and making necessary repairs to the roof. One way to afford these changes is to take out a home improvement loan.

Think twice before turning to high-interest credit cards. Consider a SoFi personal loan instead. SoFi offers competitive fixed rates and same-day funding. See your rate in minutes.

FAQ

How can I make the outside of my house more appealing?

A few ways to improve your home’s curb appeal include painting your front door, adding window boxes, and landscaping your property.

How can I add curb appeal cheaply?

Some less expensive ways to add curb appeal are to plant flowers in front of your home or in window boxes, power-wash your home, and repaint your front door in a bold color or black. Some of these moves are DIY-able, which can help you save money, too.

What adds curb appeal quickly?

One of the fastest ways to add curb appeal is to repaint your front door (perhaps in a vivid color or black), upgrading your mailbox and house numbers, and adding new lighting near your front door.

SoFi Loan Products
SoFi loans are originated by SoFi Bank, N.A., NMLS #696891 (Member FDIC). For additional product-specific legal and licensing information, see SoFi.com/legal. Equal Housing Lender.

SOPL-Q225-081

An engagement ring is an important step in a shared life together, and its price — which is between $5,000 and $6,000 on average — can be a significant investment. It’s wise to come up with an amount to be spent that works for you and your budget.

Whatever figure is right for you, there are several options for financing this expense, from credit cards to personal loans to “buy now, pay later” (BAPL) plans. Learn the details so you can decide what’s best for your situation.

Why Not Pay for an Engagement Ring Upfront?

If you’ve just begun browsing engagement rings, you will likely see they come at a variety of price points. The best price for an engagement ring? One you can actually afford.

In the past, there’s been a rule of thumb that an engagement ring should cost the equivalent of three months’ salary. But that “rule of thumb” is likely rooted in industry advertising from the 1930s and doesn’t reflect the current reality.

In fact, Americans spend just a fraction of that amount on an engagement ring — between $5,000 and $6,000 as of 2025. Considering that the average monthly U.S. income is about $4,901, abiding by the three-months rule would mean spending almost $15,000 on the ring. That’s a major sum that many would rather put toward, say, repaying student loan debt or the down payment on a future home.

Can you finance an engagement ring? Yes, and there are several avenues available to you. But no matter what the average engagement ring cost is, it can be a good idea to buy a ring you can comfortably afford without financing. But even if you have cash ready to buy a ring, you may still consider financing options. People typically finance a ring because:

•   They want liquid cash available for upcoming wedding expenses.

•   They may not be able to pay cash for a ring without significantly dipping into their emergency savings, which could become problematic if an unexpected expense crops up.

•   They may want to spread the payment of an engagement ring across several pay cycles, or may be waiting for a large sum of cash to hit their account.

•   They may want to take advantage of purchase protection available on their credit card for a large purchase. However, purchase protection may not apply for a ring, as there are exclusions for certain categories of purchase, such as antiques or one-of-a-kind items.

•   They may want to take advantage of credit card points that come with a large purchase.

Recommended: How to Apply for a Personal Loan

How to Finance an Engagement Ring: 4 Popular Options

There are multiple options for financing an engagement ring, and the best option for you may be as unique as the ring you choose for your partner.

These include:

•   Personal loans, which may be called a wedding loan

•   Credit card

•   Buy now, pay later options

•   Jeweler loan

Here are some things to consider as you mull over options for financing an engagement ring.

Financing an Engagement Ring with a Personal Loan

What is a personal loan? It’s a lump-sum loan that can be used to pay off other bills or to pay for an expense, like buying an engagement ring. Amounts typically range from $1,000 to $50,000 or even $100,000, and the term for repayment is often between two and seven years.

With a fixed interest rate and a payment end date, using a personal loan for engagement ring financing can be a good option if you have a budget for paying the ring off or want to spread the payment through a longer period of time. That way, you can still have available emergency savings and not have to liquidate other assets.

But whether or not to get a personal loan is something that takes careful thought. You may be tempted to look at more expensive rings than you might have if you had been paying cash upfront. And remember that an engagement ring loan includes paying interest in addition to the actual cost of the ring. It can also be a good idea to make sure that you can comfortably afford the loan payments and that it wouldn’t be an excessive burden if you were to lose income.

Financing an Engagement Ring With a Credit Card

Using a credit card for an engagement ring purchase may make sense if you have the cash to pay your bill at the end of the month. It also may make sense if you have a credit card with 0% APR (or annual percentage rate) and are confident you can pay off the ring before the promotional period ends.

Some people also may want to use a credit card to earn points or to take advantage of purchase protection. But before you pull out your card, consider a few things:

•   Does your jeweler offer a discount for cash purchases? If so, then that discount may be worth considering cash options rather than paying with a credit card.

•   Does purchase protection cover a ring? It may be worth calling your credit card company, since your ring may fall under exclusionary categories.

Financing an Engagement Ring With a Buy Now, Pay Later Loan

A buy now, pay later loan (BNPL) means a purchase’s price is spread out over time vs. paid for upfront. Unlike different types of personal loans, a BNPL loan (also called a point-of-sale loan) may be done through a merchant or through a virtual card. These may have no interest if you pay in a set amount of time, but the repayment period may be short and there may be fees involved.

Financing an Engagement Ring With a Buy Now, Pay Later Loan: Pros and Cons

Here, in chart form, are the pluses and minuses of paying for an engagement ring with a BNPL loan.

Financing an Engagement Ring With a Jeweler Loan

Some jewelers offer their own loan programs. These may have promotional periods where you can take advantage of a 0% interest rate, and may also come with additional perks, such as discounts for future purchases or a discount on future repairs. Jeweler loans also may have a fixed rate of interest.

But this interest rate may be higher than an interest rate you could get with a personal loan or on your credit card. You also may be required to put a down payment on the purchase.

Financing an Engagement Ring With a Jeweler Loan: Pros and Cons

Here are the upsides and downsides of engagement ring financing via a jeweler loan.

Can You Finance an Engagement Ring With Bad Credit?

If you have bad credit, you may find it a challenge to qualify for engagement ring financing. That said, it’s not impossible.

Some jewelers offer financing plans for customers with less-than-stellar credit. which may come with a higher interest rate or require a co-signer. You may also want to look into whether the jeweler offers a layaway program, where you put down a percentage of the total amount due and make smaller payments over time. When the balance is paid off, you can bring the ring home.

You may find some lenders who offer personal loans to those with bad credit. You will likely find that these offers have high interest rates and less favorable terms than those with higher credit scores.

Tips for Buying an Engagement Ring

Consider the pros and cons of engagement ring finance options, and remember that after the engagement ring comes wedding expenses. It may be a good idea to talk through engagement ring options with your partner prior to a proposal, especially if you’re already sharing your finances. While it may not feel as spontaneous, talking through big purchases that mutually affect you may be good practice for combining your lives.

Other tips for buying an engagement ring:

•   Ask your partner what they want. Also, talk to your family and their family: A relative may have heirloom jewelry they’d like to pass down.

•   Browse together. In addition to looking at jewelry stores, consider estate sales, antique stores, and browsing online to get a sense of styles and prices.

•   Negotiate. Some jewelers may offer a discount if you pay in cash.

•   Remember ring insurance. An engagement ring may not be covered under your homeowner’s policy without an added rider to the policy or may be covered only in specific circumstances. Research insurance policies before you buy the ring.

Looking for a Personal Loan? What to Consider

While there are many uses for a personal loan, it can also be an avenue that makes sense for engagement ring finance. Having a fixed interest rate and a finite loan term allows you to know exactly what you’re paying each month, and spreading the cost over time may mean the purchase fits within your monthly budget.

Here are some things to consider if you are planning to apply for a personal loan to buy an engagement ring:

•   What are the fees? Some loans may have fees, such as an origination fee (when you open the loan) or an early termination fee (if you pay off the loan early). Make sure you know any potential fees prior to applying for the loan.

•   Know your budget. Just because you can get approved for a certain size loan doesn’t mean that’s the best choice for you. Make sure you choose a loan size you’re comfortable with.

•   Know the loan terms. Some loans have hardship clauses that may help if you are at risk of falling behind on payments due to an unforeseen financial strain.

•   Shop around. Compare loan terms and personal loan interest rates. Comparing rates won’t affect your credit score. A hard credit check will only be done when you apply for the loan.

Recommended: Personal Loan Calculator

The Takeaway

With a big purchase like an engagement ring, there are several avenues for paying for the purchase. Considering the pros and cons of each option can help you decide on the best one for you. And remember: An engagement ring is only one expense in the future you are creating for you and your partner, so consider it the first of many financial steps in your future as a married couple.

If you decide on a personal loan to finance an engagement ring, consider what SoFi offers.

Think twice before turning to high-interest credit cards. Consider a SoFi personal loan instead. SoFi offers competitive fixed rates and same-day funding. See your rate in minutes.

FAQ

Can you finance an engagement ring?

Yes, you can finance an engagement ring. Some of the options include personal loans, credit cards, BNPL loans, and jeweler financing.

What is the best way to finance an engagement ring?

The best way to finance an engagement ring will depend on your personal goals and financial situation. For one couple, using a credit card and earning rewards could make sense. For another, a personal loan with a favorable interest rate could be the right choice.

What credit score is needed for engagement ring financing?

Credit score requirements vary for engagement ring financing. For many personal loan lenders, a score of at least 580 or 600 is required. Some will want to see still higher scores, and there are also lenders who will offer financing to those with poor credit, though typically at higher interest rates and less favorable terms.

Is it smart to finance a wedding ring?

It can be smart to finance a wedding ring if it helps you meet your financial goals, If you know you can pay off the loan (principal plus interest) in the time frame offered, it can be a wise move. For others, using their credit card and earning rewards may be a better option, and some people may prefer to save up in advance and not take on any debt at all.

Are there engagement ring loans with no credit check?

It is possible to find an engagement ring loan without a credit check. In many cases, these may be offered by jewelers or online lenders, and they can involve fees and higher interest rates than you might find elsewhere.

Photo credit: iStock/Delmaine Donson

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Twice a year, most Americans adjust their clocks — one hour forward in the spring, one hour back in the fall. This routine, known as Daylight Saving Time (DST), was originally designed to maximize daylight hours and reduce energy use. But as our modern lives evolve, so do questions about whether this time-shifting tradition still makes sense.

While DST comes with a number of benefits, it also comes with hidden costs — from disrupted sleep and reduced productivity to increased health risks and economic losses. So, does Daylight Saving Time actually save or cost the U.S. money? Let’s dive into the history, the original goals, and what the numbers really say.

What Is Daylight Savings Time?

Daylight Saving Time (DST), commonly referred to simply as “daylight savings,” is the practice of moving the clocks forward one hour ahead of local standard time in the spring to achieve longer evening daylight in summer. In effect, an hour of daylight is shifted from the morning to the evening each spring.

In the U.S., DST begins on the second Sunday of March and ends on the first Sunday of November, when we move the clocks back one hour, and always starts and ends at 2 a.m. People often rely on the phrases “spring forward” and “fall back” to remember which way to reset the clock.

The idea behind daylight savings is simple: by syncing the time people are active with daylight, we might use less artificial lighting — and, in theory, save energy and live more economically and efficiently.

A Brief History

The concept of DST dates back to the early 20th century. Though Benjamin Franklin is credited as the first to suggest shifting time to conserve energy, the modern practice wasn’t implemented until World War I, when it was temporarily adopted as a wartime measure to help conserve fuel and power and extend the work day. During World War II, DST was reintroduced and referred to as “War Time.”

After World War II, DST was repealed again, allowing states to establish their own standard time. For the next two decades, there were no set rules for DST, which led to significant confusion in the transportation and broadcast industries.

In 1966, the U.S. passed the Uniform Time Act, standardizing the start and end dates of DST, while allowing states to opt out by passing a state law. Currently, all states except Hawaii and most of Arizona observe DST. American territories, including Guam, American Samoa, Puerto Rico, and the Virgin Islands, do not follow DST.

Who Benefits From Daylight Savings Time?

Many people and industries benefit from Daylight Savings Time. Here’s a look at some of the advantages of moving the clocks ahead by an hour each spring.

•   Encourages activity: Proponents of DST note that longer evenings motivate people to get off the house and engage in outdoor recreation like walking, running, baseball, tennis, soccer, golf, etc. For parents, the extra hour of daylight can mean more outdoor activity for their children. As a result, changing the clocks each spring may help counteract our modern sedentary lifestyle.

•   Reduces lighting needs: An extra hour of daylight helps to reduce the need to use electricity for lighting, which can reduce energy costs. However, people today tend to use computers, screens, and air conditioning units whether it is light or dark out. As a result, many economists say the amount of energy saved from DST is minimal.

•   Improves public safety: Daylight Saving Time’s longer daylight hours can help reduce the risk of pedestrians and cyclists being hit by cars. Indeed, studies have found that DST reduces pedestrian fatalities by as much as 13% during dawn and dusk hours. An extra hour of sunshine can also deter criminals, who generally prefer to commit crimes at night. Research has found that robberies drop about 7% overall and 27% in the evening hours after the spring time change.

•   Stimulates the economy: More hours of daylight in the warm months may incentivize people to shop, dine, drive, play golf, and spend money in other ways after work, giving the economy a boost. Chambers of commerce generally support DST, saying it causes consumer spending to increase and has a positive effect on their local economies.

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How Much Does Daylight Savings Cost Americans?

Despite the potential benefits, there’s growing evidence that DST also carries real and measurable downsides — from health consequences to lost productivity.

•   Health impacts: Moving the clock forward, even by just an hour, can have a negative effect on the body’s natural circadian rhythm, which can harm our health. One study found that the risk of a heart attack increases 10% the Monday and Tuesday following the Sunday we “spring forward.” Research also indicates that there is a higher incidence of strokes and suicides, along with a general decreased quality of life, on the days and weeks following the spring time shift.

•   Productivity loss: The Monday following the day we move the clocks one hour ahead is often referred to as “sleepy Monday,” since it’s one of the most sleep-deprived days of the year. Economists have found that the spring time change can actually kick off an entire week or lower worker productivity — including an increase in “cyberloafing” (i.e., wasting time on the internet while at work) — due to fatigue. Some also point out that the 10 minutes or so people spend simply changing clocks, watches and other devices forward (and then later reversing the process) also leads to lost productivity and earnings. In other words, we could be doing something better with that time.

•   Increased accidents: While longer daylight may help pedestrians, studies show a 6% increase in fatal car crashes during the five weeks after the spring shift — possibly due to drowsy driving or people rushing because they are running late.

•   The financial toll: A 2024 report by Chmura Economics & Analytics estimates that the total economic cost of DST is around $672.02 million per year, largely due to the health implications and increased traffic/workplace accidents attributed to the spring time shift.

   This total cost includes:

◦   $374.75 million from increased heart attacks

◦   $251.53 million from increases in strokes

◦   $18.35 million from additional workplace injuries

◦   $27.39 million from increases in traffic accidents

What Would Happen if Daylight Savings Time Was Removed?

Many Americans are in favor of getting rid of twice-annual clock changes. In fact, more than 30 states have introduced bills to replace daylight saving time with one stable time, and the issue has also been the subject of legislation in the U.S. Congress. As of this writing, however, daylight saving time is not ending across the U.S.

But what would happen if it did?

Whether the U.S. opted for permanent DST or permanent standard time, we would no longer need to worry about remembering to change the time on our watches and clocks, losing an hour of sleep, and feeling tired after we “spring forward.” This could help keep sleeping patterns more consistent year-round, potentially improving people’s health, productivity, and quality of life.

Many businesses would likely also benefit: Without the biannual adjustment, employees would maintain regular sleep schedules, and companies could avoid the drop in efficiency and focus that occurs after each time shift.
Getting rid of DST would also eliminate the temporary increase in auto and workplace accidents after we spring forward, along with confusion around timing caused by the fact that not all U.S. states, and not all countries, implement DST.

But there are also some downsides to getting rid of DST. If we opt for year-round standard time, we would lose that extra hour of evening sunlight in summer. Though the days are naturally longer in the spring/summer, losing that additional hour could lead to less outdoor recreation and physical activity. It could also reduce foot traffic for businesses like restaurants and retail shops during summer evenings.

If we opt for year-round DST, it wouldn’t get dark quite so early during the winter months, but mornings would be darker. This could make it harder to wake up for work, and also raise safety concerns for children walking to school and commuters traveling in the early hours.

The Takeaway

So, does Daylight Saving Time cost the U.S. money? The answer is: yes. Studies have estimated the annual cost could actually exceed $672 million per year.

While DST offers seasonal perks for retail, recreation, and crime prevention, its broader impacts on health, productivity, and safety are substantial. The original energy-saving rationale no longer holds much weight in the modern world — and research increasingly shows the economic and human costs of DST may outweigh its benefits.

While DST in the U.S. isn’t going away (yet), the debate continues — with each spring and fall reigniting questions about whether DST truly serves American citizens and the modern economy.

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FAQ

Does daylight saving time save money?

Daylight Saving Time was initially implemented to save energy, but its effectiveness in modern society is debated. Some studies suggest it can reduce electricity usage slightly by shifting peak demand, while others find no significant savings or even increased costs due to higher air conditioning use. The overall financial impact is minimal and varies by region.

How does daylight saving time boost the economy?

Daylight Saving Time can boost the economy by extending evening daylight, which encourages outdoor activities and shopping. This can lead to increased consumer spending, particularly in retail and entertainment sectors. Sports and leisure industries also benefit from more daylight hours, as people are more likely to engage in outdoor activities after work.

What are the downsides to daylight savings?

Daylight Saving Time has several downsides, including disrupted sleep patterns and increased risk of accidents and health issues (including heart attacks and strokes) in the days following the time change. It can also affect productivity and mood, especially for those with sleep disorders. Moreover, the energy savings are often negligible, and the transition can cause confusion and scheduling issues.

Photo credit: iStock/baona

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