Personal Loan for a Marriage

– Advertisement –

Marriage is one of the best joyful occasion. It is a ceremony of a union of two souls where they vow to remain with each other through thick or thin. In any ceremony, you have to look over the finances as well. Marriage ceremonies are not free. They can cost a fortune. With modern marriages, there are many events that are a must for trying to satisfy everyone attending the marriage. There is one thing guaranteed in marriage ceremonies that not everything will go as planned. You can plan the wedding all you want but there will be many instances which can happen out of the blue which could up the budget. You must be ready for such a time as you don’t want to be embarrassed in front of your family and loved ones. If you think you will run low on the marriage day, there is nothing to worry. You can take a loan to help you enjoy the day to its fullest. There are many types of loan that you can choose from.

Personal Loan:

The first type is the Personal Loan. You can take a personal loan from a bank depending upon your credit score. The credit score itself depends upon the credit history, assets and the ability of the loanee to pay back the loan amount with interest. The interest rate ranges from 11% to 33% which primarily depends on the profile of the loan seeker.

Secured Loan:

If you are not able to get the personal loan because of the credit score, there is nothing to worry about. There is also an option for a secured loan. You can secure a loan by giving security to the banks. You can provide security to the banks by opening a fixed deposit account, post office saving certificates or life insurance policies. The positive side of secured loans is that the interest rates are relatively lower (12%-15%). The reason that interest rates are lower because the banks can recover their money through the security deposited by the seeker. This type of loan also doesn’t require many documents as you already have relations with the bank. This could be a win-win for both the parties. The loanee can get the loan and the bank can recover their money as well if the loanee becomes a defaulter.

Marriage Loan

If you are not available to seek personal or secured loans or don’t want them, then there is also an option of marriage loans. These loans can be availed from non-banking institutions. Their interest rates vary from 11%-31%. The negative aspect of this type of loan is that many people don’t keep proper documentation of the finances which creates a problem for both the parties. However, there is also a positive side that you can avoid paying the heavy interest rate if you pay back the money before the due date approaches.

Crowd-Funding approach

Probably, many people would have never heard of this approach. This is the crowd-funding approach. In this way, you can create a crowd-funding page online and ask people to help pay for the money. You can set a target for it depending on your calculations. You must connect deeply with the people and tell them the significance of this occasion you want the money for. This is the last approach for you. Many people are against this as they think that it is a charity for you. This depends upon how you see things in life.

I know that nobody likes to take a loan for a marriage ceremony. You need to be realistic and practical in life. To make the occasion more joyous, you need cash upon you. There is no shame in seeking a loan. It is just a loan. You can always pay it back. The best thing you can do is to don’t take a loan just to show-off in front of people that you won’t even see ever in your life. You need to do sound financial planning and then act accordingly. Many of the expenses in the marriage ceremonies can be cut down if you manage your resources well.

What do you think guys? Which route will you go?

Posted in Uncategorized