A wedding is an occasion that needs months or even years of planning to make it really remarkable. And financial planning plays an extremely important role in this. A considerable amount of funding is required to make it a memorable and distinctive event. Hence, planning your expenses wisely is crucial. If you choose a personal loan for marriage, it can take care of the finances and make your once-in-a-lifetime event just perfect for you.
Keeping your expenses in check and obtaining a personal loan from the right financial institution will help you steer clear of unpleasant financial burdens.
A wedding is an occasion that needs months or even years of planning to make it really remarkable. And financial planning plays an extremely important role in this. A considerable amount of funding is required to make it a memorable and distinctive event. Hence, planning your expenses wisely is crucial. If you choose a personal loan for marriage, it can take care of the finances and make your once-in-a-lifetime event just perfect for you.
Can I Acquire a Wedding Loan
Financial institutions offer Personal loans that you can use to bear the expenses of your wedding. There are two types of personal loans available: Secured loans and unsecured loans. Before choosing any of them, you must examine the features and benefits associated with them to decide which one is more advantageous for you.
However, before applying for a personal loan for marriage, it is advisable to check your eligibility. This will simplify the loan acquiring process. You can do this by visiting the lender’s website.
Unsecured Personal Loans
To obtain this loan, you are not required to provide any collateral. But, in order to get it, you must have a credit score of 750 or above (may vary among lenders). It is one of the most important eligibility criteria parameters that financial institutions take into account while considering your loan application.
Besides an unsecured personal loan, below are a few other options that you can use for your wedding:
Credit Cards
It is among the most popular types of financing which is also known as plastic money. You can use a credit card as a line of credit to make purchases, pay bills, or do other transactions.
Peer-to-peer Mortgages
A peer-to-peer loan is also known as crowd lending or social lending. This type of funding enables people to obtain loans straight from other individuals without the need for a financial institution as an intermediary.
Payday Loans
Payday loans are one-time, short-term, high-interest loans that are normally payable by your next payday. Due to their exorbitant charges, payday loans are currently regulated in 37 states. The usual annual percentage rate (APR) for a two-week payday loan can reach 400%. Comparatively, the APRs on credit cards can range from 12% to 30%. Due to this, it is advisable that you should keep this form of credit as the last option.
Secured Personal Loans
A secured personal loan is one of the best alternatives to get in order to manage your wedding expenses. However, to get this loan, you are required to provide security/collateral. These loans have lower interest rates than unsecured loans. However, if you fail to make repayments, financial institutions can seize your provided collateral. Hence, you must repay the loan amounts on time to avoid such difficulties.
Apart from a secured personal loan, some other forms of credit can also be taken to cover your wedding expenses. Here are the details about the same:
Secured Credit Card
A secured credit card is one that is accompanied by a payment that serves as collateral. A secured credit card is typically issued to persons who do not have or have a low credit history. The deposit amount will be converted into a line of credit for the borrower.