Bottom line, weddings are lavish affairs that cost a fortune. The important thing to remember is that weddings can be enjoyed when on a budget as well.
It is easy to get carried away with all the details a wedding includes, but it is crucial to set your priorities, save, and stay true to the original plan. If you are considering getting a loan or using a credit card to cover for the wedding expenses, here are some alternate routes to guide you further with saving money.
What is a wedding loan:
It’s basically a personal loan that will be used to pay for your wedding expenses. These are often left as a last resort because it’s basically a request to spend cash that you don’t have to pay back.
Personal loans are not so ideal in this situation. Unless you are prepared to deal with crippling financial burden once you come back from your honeymoon and straight to reality, we suggest you steer clear of one if at all possible. But if you have chosen that path – here are a few tips:
Online loan companies offer crowd-sourced loans and operate similar to a bank. Online investors finance you after you get approved and then you simply pay them back with interest like you do to a bank. It is fast, smart, convenient, and available round the clock.
Most financial consultants advise against it because of lasting credit card debt, but if you already have cash to pay back the bills, then only go for this option because it will allow you to earn points on airfare and hotels and also protect your assets from possible fraud.
A Home Equity Line of Credit:
The concept behind this option is to borrow money against your house’s mortgage. Again, this isn’t the best option for people who are just starting to financially support themselves but it is great for homeowners.
Extending your Engagement and Saving:
Avoid loans completely and simply compensate for it with time, careful thought, and planning. This will allow you to explore more options and save for the things you really want.
How much money can a wedding loan provide?:
Banks and online companies provide somewhere between $2000 and $35000.
How does one increase their chances at a wedding loan?:
Make sure you have good credit.
A good credit score approximates to around 700. The lesser your credit score, the more you have to compensate for later with a higher interest rate.
Have your financial documents in order:
The bank and online companies will take a look at your proof of employment, bank statements, and additional loans if any.
Budgeting can get difficult but it saves you from unnecessary stress and financial burden. We at White Sparrow Barn would advise you to simply wait and save.