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Not all diamonds are a good deal

NEW YORK — There are few things as confusing to buy as a diamond.

Most people don’t shop for one more than once or twice in their lives, so they don’t know what a reasonable price is. They’re often S.W.I.L (Shopping While In Love). They are intimidated by jargon tossed around the jewelry store, like “very slightly included.” And they’re inundated by industry admonitions that if they don’t plunk down three months’ salary for an engagement ring, they’re not really in love.

“Most guys get overwhelmed, and they just put down their money, grab the first ring they see and run out,” said John Baird, spokesman for online diamond seller Blue Nile Inc. “You would never do that when you’re buying a car.”

But before we impart any advice about how to be smart while buying a diamond, let’s get one thing out of the way: You don’t have to get one. Sure, our society tells us an expensive diamond is a necessity for getting engaged. So what? Our society has also told us that women should wear girdles and bell-bottom jeans. Maybe you prefer other gemstones or you just think the money would be better spent on a car or a down payment for a home. And if you’d be just as happy with cubic zirconium or a blemished diamond, then kudos to you.

We just want to help you pay the right price if you do buy a diamond. Here’s how:

FIND A VENDOR YOU TRUST: You might be a whiz at comparison shopping for cars, cameras or groceries, but it’s very difficult for most shoppers to figure out what they should pay for a diamond. So find a jeweler you trust, and that doesn’t just mean the one who seems the nicest.

If the vendor wants to chitchat about your beloved instead of answering your questions, it’s probably time to move on. Ask if the store is a member of a reputable trade organization, such as the Jewelers Vigilance Committee, or JVC.

“If you start asking questions and you’re getting reluctance to answering them, you’re shopping in the wrong place,” said Cecilia Gardner, CEO of the JVC.

Get the store’s return policy in writing. If you’re buying online, find out who’s liable if your diamond gets lost in the mail.

GET THE PAPERS: If you’re looking at bigger diamonds, ask for a certificate from an independent grader, like the Gemological Institute of America or the American Gem Society Laboratories, Baird said. One rule of thumb is that any diamond that costs more than $1,000 should come with a grading certificate.

Beware of certificates from labs with similar but probably phony names, like the “Gemological Institutions of America,” said Robert Hensley, founder of DiamondHelpers.com, a consumer information website. Make sure the grades the jeweler advertised match the grades on the certificate.

The Federal Trade Commission tells jewelers that a diamond’s advertised weight has to be accurate “to the last decimal place.” That means that a diamond advertised as “0.30 carats” could actually be 0.295 carats on the grading certificate. You might not care about the size difference — but you don’t want to pay a 0.30 carat price for a 0.295 carat diamond, a difference of $$$?

A SALE IS NOT ALWAYS A SALE. There are no reliable diamond price sheets consumers can use, and prices are largely driven by mining companies, said Ken Gassman, a longtime diamond industry analyst. So be wary of stores that promote big discounts; they know that most shoppers won’t know the difference.

“I always talk about walking through your local mall, and you’ll see the big red signs that say ‘50 Percent Off This Weekend Only,’ and if you come back the next weekend you’ll see the same sign,” said Blue Nile’s Baird.

LEARN THE LINGO. The vocabulary of diamond buying is more than confusing. You don’t need to be an expert, but the JVC’s “For Consumers” section at www.jvclegal.org will help you decipher what the jewelers are talking about.

For instance, an “inclusion” is a flaw, and “very slight included” is a grade of diamond. “Enhanced diamonds” have been treated to minimize cracks or blemishes and should cost less. If you’re looking at a diamond that has been “fracture filled” — where epoxy or another substance is used to fill in cavities — you’ll want to ask if the jeweler will bear the cost if the fractures have to be filled again.

BUY SHY: Prices jump disproportionately at the carat and half-carat mark, so consider buy something just a little below those sizes. Your friends won’t be able to tell any difference between 0.95 carats and 1 carat, and you’ll probably save a few hundred dollars, Baird said.

BUY SMALL: A ring with several smaller stones can cost much less than a ring with one big stone, because diamond prices increase exponentially with size. A 1 carat diamond of a certain grade might cost $5,500, but 10 smaller diamonds that collectively weigh 1 carat could cost $1,800, Hensley estimates.

At the same time, if you’re looking at rings with multiple stones, remember that you can’t just compare “total carat weight.” Ask the store to provide the weight and quality of the center stones only. If it can’t, start looking elsewhere, Hensley says.

DON’T BUY ON VACATION. No matter how persuasive the street vendors in Antwerp or Jamaica, you’ll have virtually no recourse if you find out later that the “diamond” you dropped a cool thousand for is really just cubic zirconium.

If you do need to contest your purchase, try to settle your dispute with the jeweler first. Then try the Better Business Bureau, the Federal Trade Commission or the JVC. But keep your expectations realistic: It’s impossible to predict the outcome of any complaint you file. It’s your responsibility to be a smart shopper in the first place.