News

Seek clarity when buying diamonds

• By Nhada Larkin
• From: Herald Sun - National Features
• April 11, 2011 12:00AM

At least half the population will buy one during their lives but most of us know very little about diamonds.

Traditionally, the groom spends at least two months' salary on a diamond engagement ring for his wife-to-be but Jewellers Association of Australia chief executive Ian Hadassin says this is only a rule of thumb.

"The bottom line is that people should spend only what they are comfortable with, taking into account that a diamond does indeed last forever," he says.

"The most important factor when purchasing a diamond is that the consumer must have full confidence and trust in the jeweller they choose."

All JAA members abide by a strict code of ethics and in the "highly unlikely" event that a consumer is not satisfied with their purchase, Hadassin says the JAA will, where appropriate, intervene on their behalf.

"Consumers should definitely do their research before purchasing to ensure they fully understand what physical and commercial characteristics contribute to the value of a diamond," he says.

"They should also shop around for prices as these can vary considerably but they must ensure that, when making price comparisons, they are comparing apples with apples."

The JAA says consumers should be aware that synthetic diamonds are created in the laboratory and should cost less than natural diamonds. Diamond simulants or look-alikes are not diamonds at all.

"It's easy to be fooled," the JAA warns.

Hadassin says the only way to be certain you are buying a natural untreated diamond is to insist on receiving a diamond grading certificate from a reputable diamond-grading lab.

"With more valuable stones, the retailer will normally provide this certificate free of charge," he says.

"However, with lower value diamonds, the retailer will normally charge a fee to provide a certificate."

Consumer group Choice recommends consumers should ask lots of questions when buying a diamond and, specifically, ask if the diamond has been treated and what impact the treatment has.

"A good jeweller will spend some time with you and help you find a diamond you like and that's in your price range," it says in a report.

Choice says once you have paid a deposit on a diamond, get a detailed receipt describing the characteristics of the diamond and the jewellery.

It advises consumers to take their business elsewhere if the salesperson says you're getting a huge discount on the stated value of the stone and no reliable certification is available, and if what's promised in advertisements is not available in the shop.