Most of the couples have an idea of their dream wedding and marriage is a costly affair as we all know. And, sometimes we fall short of funds to meet wedding expenses. In such a case, most of the individuals who are planning to get married soon may apply for a wedding loan to cover all their marriage expenses in a hassle-free manner. However, wedding loans, which are nothing but only a kind of an unsecured personal loan is generally a good idea when it comes to meet your D-day expenses which help couples to pay for their marriage ceremony outright.
Let’s have a look at what wedding loans are and how do they offer benefit to us:
What Is a Wedding Loan
Awedding loan is nothing but an unsecured personal loan. They can be used wisely to meet all your wedding-related expenses. And even after that in arranging your trip abroad or your honeymoon plans with your partner. To avail a wedding loan, you do not require any collateral or security to get loan approval from your lender which makes this loan quite convenient to opt for when you do not have enough amounts of funds to meet your wedding expenses. In general, you can borrow up to Rs. 50,000 to Rs. 50 Lakhs through a personal loan.
How to Get a Wedding Loan
You can get a wedding loan from a bank, credit union or an online loan aggregator who offers this facility. You may apply for a wedding loan in an easy and hassle-free manner through the increased digitisation process and minimum requirement of documents. When you apply for a wedding loan, lenders will look at your credit history as well as your debt-to-income ratio to approve your loan successfully. Generally speaking, lenders prefer borrowers with credit scores of 750 and above.
Factors to take into consideration when applying for a marriage loan
You need to keep the following factors in mind while applying for a marriage loan
1) Make a rough estimate of how much loan amount do you really require to cover all your wedding-related expenses after taking into account your wedding budget which you should plan well in advance
2) Compare and contrast different offers and rates offered by multiple lenders on wedding loan. Doing this exercise will help you save a lot on the interest rate part. Make sure that you should also know well in advance about all the charges associated with your wedding personal loan
3) One needs to be very careful, as applying for a wedding personal loan might charge you a higher rate of interest. So remember to stick to a careful approach and keep things within budget so that you do not leave yourself in a stressful situation at the time when you do not have sufficient funds to meet your wedding expenses
Also Read: Why Wedding Loan is Best Way to Manage Your Wedding Expenses
Benefits of taking a Wedding Loan
1) Wedding personal loans are a fast and easier way to avail quick funds to manage your wedding-related expenses
2) You can apply for these wedding loans even online in a hassle-free manner without the requirement of any paperwork
3) You can get instant funds in as little as one business day, depending upon the lender with which you apply for your wedding loan
4) The interest rate on wedding loans are quite lesser as compared to those of credit cards
5) They can help improve your credit history if you pay them back on time