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FFXI Gil: You’ll need to upgrade in order to get through the Crystal Desert missions
For help with affording this expensive armor so early, consider farming the nearby D’Alessio Seaboard mission for materials (see section 2.4) and using the Factions newbie questing trick to gather the FFXI Gil (see section 3.1).
When you reach the Henge of Denravi, you’ll probably be tempted to upgrade right away. If possible, wait again; if you can wait two more missions, you’ll be in Amnoon Oasis, which has superior armor.
When you reach Amnoon Oasis, you’ll probably need to upgrade in order to get through the Crystal Desert missions.
When you reach Droknar’s Forge, buy the best armor in the game. If you’ve already farmed up over 15k, you could also head to Granite Citadel or Marhan’s Grotto to get a piece of overly expensive but cool-looking armor from there.
Factions: Due to the fast-paced nature of the early part of the Factions campaign, you should be able to make it through all of the quests and missions on Shing Jea Island using just your starting armor.
Exception: If your profession forces you to fight near the enemies (warrior or assassin, for example), investing in chest and leg armor from Shing Jea Monastery will be worthwhile, since these spots are the most likely to be hit in typical combat situations.