In order to have a perfect wedding, many couples these days prefer to buy a wedding loan that actually covers most of the expenses of their wedding celebrations. When it comes to a wedding loan, it is nothing but actually a personal loan provided by various lending institutions such as banks and NBFCs at competitive interest rates. However, as the special day draws closer, people usually compensate for the D-day by availing a personal loan for wedding. Moreover, if you are also looking to apply for wedding loan, below are the things that you should consider first.
- Getting a loan for wedding generally prove helpful in figuring out the financial status of your spouse. Yes, through this way, you can have a good look into his/her spending habits, and can evaluate whether you both are financially compatible for each other or not.
- You must be aware with the fact that taking a wedding loan in India is an easy procedure. But, the only thing which is hard is to figure out the amount that you need to borrow. For that, you need to take into account your financials, along with the amount that you can spend on your own marriage, the amount that you already have, and how much you have to borrow.
- When it comes to loan amount for wedding loan, it varies from one lender to another, and usually ranges anywhere between 10 lakhs-40 lakhs or more, depending upon your credit score.
- Furthermore, before approaching to a lender, it is important for you to decide on the exact number which you want to shell out on your D-day. All you need to do is just prepare a list of things that you want to have at your dream wedding. However, if the final amount goes beyond what you can borrow, you should start paring down.
- What you can do is, you can prepare a list with expenses categorized as necessary. Moreover, the best way to manage on the costing part is to list the necessary expenses, avoid the irrelevant things such as venue is a need, but ribbons can be irrelevant, and decorative lanterns are surely a surplus.
- Once you are done on the budgeting part, the most important factor that you need to look after is to decide on the amount that you can easily repay every month after your marriage. Yes, there is no point in taking such a loan that you repay for the rest of your life. So, you should be careful here while borrowing the money as you should always borrow the loan amount that you can easily repay within a desired time.
- Moreover, the interest rates for wedding loan are highly feasible, and you can easily avail the best rates. But, you should do your homework when it comes to selecting a lender so as to get the best possible rates.Moreover, there are usually no free or pre-payment penalties on such type of loans, thus you should find the best terms along with the best rates as well.
- Those who are having the bad credit, need not to worry as they can also get a wedding loan. Yes, be honest with your lender from the very first day, and be aware with the loopholes in your credit report before applying for wedding loan as this thing will create a good impression of you on the lender.
- Moreover, before finalizing your wedding loan application, the lender will ask you to submit some documents like bank statements, income proof, lawsuit settlements, income tax returns along with the list of credit accounts. However, not every lender ask for all these documents, but a few. So, you need to be prepared with the documentation part, before availing the loan.