One of the keys to organising a wedding is saving, setting priorities and sticking to the number you start with. But what about if you haven’t been able to save enough? Is getting wedding finance a good idea?
The simple answer is no, but things are never so simple. For many people, wedding costs often overwhelm them and they may find themselves spending beyond their financial means.
There is really no such thing as “wedding finance”, but rather personal loan options that can be used for paying for wedding costs.
Before you apply for a personal loan in order to fund your wedding, it’s important to make sure that you have good credit. In addition to this, you need to keep in mind how this decision will affect the financial decisions on your marriage later.
It’s important to make sure that you have your financial documents in order before applying.
Factors to consider:
Personal loan amounts you qualify for will be dependent on your creditworthiness as well as your individual affordability. If you will be married in community of property, this will affect your spouse, so it’s vital to be clear about the loan’s terms and conditions.
If you are considering getting wedding finance you need to make sure that you will be able to afford to repay the loan. Unsecured personal loans generally have high interest rates so you need to know your budget as well as be able to afford the added interest.
What other options do you have?
- You can always extend you engagement and save up for your wedding instead.
- You can use a credit card to pay for the costs of the wedding.
- You can opt for taking out a home equity line of credit to pay for the wedding.
- You can use marketplace lending.
Getting wedding finance should ideally be your last resort, mainly due to the high interest rates you will have to contend with.