Applying for a Wedding Loan? Keep these 4 Things in Mind

Your wedding is one of the most memorable milestones in your life, and all of us have thought about having the wedding of our dreams multiples times. While a wedding is the coming together of two souls, in India, it is the coming together of two entire families. Any parent would wish to see their child wed amidst pomp & splendour, and in India, that’s exactly what happens. Here, the norm is, “the bigger, the better”. Having luxurious, themed parties lasting three days (or more) has become the norm now. While there are a lot of memories waiting to be made amidst all the celebration, nobody can deny that it comes at a staggering cost. Weddings know no concept of a budget, because there’s always something that overshoots it. 

So, if what do you do when you want extra money to fund the wedding of your dreams? You take out a personal loan for wedding Loan, of course! This is a personal loan offered by banks and NBFCs in India to help people finance their dream wedding. Here are four things to keep in mind if and when you apply for one yourself:

1.Ensure the Loan Amount is Adequate

There are more than a hundred expenses you need to meet when you’re financing a wedding. The venue, decoration, catering, clothes, jewellery, and photography are just a few examples in a very long list of wedding expenses. So, it’s extremely important that you create a detailed wedding budget, and consider each and every expense while calculating your personal loan for wedding amount. But at the same time, keep your repayment capacity in mind and borrow only what you need. Don’t go all-in for a huge wedding loan that’s out of reach just because it’s readily available.

2.Shop for the Best Interest Rate

Just like how you’d try on twenty different outfits before zeroing on the final one for your wedding, you should shop across several lenders for the most affordable personal loan for wedding offer possible. The average interest rate for a wedding loan in India ranges between 10.50-20%. So, ensure you do enough research and shop for the best personal loan lender that meets all you wedding loan requirements while also offering you the most affordable rate of interest.

3.Flexible EMIs are a Must

While applying for a personal loan for wedding, ensure that your lender gives you the convenience of flexible EMIs. You should be able to repay your loan based on your repayment capacity and monthly income. And, whenever you come into extra income, you should be able to invest that towards repaying your loan. You should at least have the option to do so. This way, you can reduce your overall EMI and interest burden.

4.Prepayment Charges

A personal loan for a wedding typically has a repayment tenure ranging from 1-5 years. While you obviously need to look at your repayment capacity while deciding the tenure, you should also have the option to pay it off earlier. You never know – a salary increment, an unexpected bonus, or the maturity of a recurring deposit can all give you extra income in hand. If you choose to put it towards your marriage loan, excessive prepayment penalties shouldn't come in your way. Go with a lender that offers you the flexibility to make loan repayments.

Wrap Up

Everyone wants to have the wedding of their dreams, and a personal loan for a wedding can help you plan exactly that. Just keep the above-mentioned points in mind while you apply for one, so that you get the best loan offer possible.




       


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