In 2019, a wedding cost an average of £31,974. It was before the coronavirus epidemic, which limited the number of guests at many weddings and caused many couples to postpone their big day.
This includes everything from the decorations. The menu and the clothes for the honeymoon, the engagement ring, and the photographer. Today the costs are exponentially higher, going up to £56200. But if you plan right, there are many ways to finance your wedding.
For example, personal loans might help cover all or part of the expense. In the following section, we’ll see what wedding loans are and how you may finance your wedding.
What is a Wedding Loan?
You might consider getting a wedding loan if you need more money to pay for your wedding. It’s a personal loan that can pay for the wedding.
The loan will be in the form of an unsecured personal loan. This means that it isn’t tied to anything else, like your home, and you can spend the money however you want, even though some lenders have limits on how much you can spend.
Usually, you may ask for a £25,000 loan. Once you obtain the funds, you must pay them back over the agreed-upon period. Before you agree to get the loan, a lender will tell you that might add interest to it.
You can obtain any personal loan you select; you don’t have to get one marketed as a wedding loan.
The matter where you can get a wedding loan?
In addition to online banks and credit unions, most traditional banks on high streets also offer quick loans in Ireland that can be used to pay for wedding costs. There are many different kinds of loans, so it is well worth your time to look around for one that fits your needs and is easy for you to pay back.
How does a wedding loan work?
When you apply for a wedding loan, you must complete many processes before receiving the money.
You will have to tell the lender how much money you make now (as well as information about your spouse’s income if you are applying for a loan with them together).
You may also have to tell the lender about your regular expenses so that they can figure out if you will be able to pay back the loan and give you an idea of how long it might take. When you ask for a personal loan, the lender will look at both your application and your credit score before deciding whether or not to give you the money.
Even if you aren’t given the loan, this check will still show up on your credit report, so it’s best to use a free eligibility checker first. They will tell you what kinds of loans you might be able to get without affecting your credit score.
Pros and Cons of a Wedding Loan
Before you decide to take out a loan to pay for your wedding, make sure you know the pros and cons of doing so, as well as the best ways to pay for the big day without a loan.
Advantages of a Wedding Loan
- It might be cheaper to borrow money through a loan with a low-interest rate.
- After the loan is approved, most people can get the money the next business day.
- You can pay off the loan early if you can afford to.
Disadvantages of a Wedding Loan
- People with good credit are the only ones who can get the best rates.
- The longer you keep your loan, the more interest you’ll pay.
- It’s possible that you can find cheaper ways to borrow money.
Alternatives to a wedding loan
Aside from taking out quick loans in Ireland for the ceremony and reception, there are many other ways to pay for a wedding. Some of these are:
Cut down on the cost of your wedding
There are many ways to save money on your wedding days, such as making your own cake and canapés or skipping extras like a wedding car and a honeymoon. Before preparing, tell your partner how much you want to spend. Then, make sure you stick to the budget you make together.
Ask close friends and family for money
It won’t work for everyone, and it can cause its own set of problems, but you might be able to borrow the money from family members. Make sure everyone knows the conditions of the loan. Even better, write it down before you give the other person any money.
A 0% credit card
If you can get approved for a credit card with 0% interest on purchases, you might be able to use that card to pay for all of your wedding costs without having to pay any interest for a certain amount of time. But this plan will only work if you can pay off your credit card balance in full before the interest payments start and if you don’t get a high credit limit when you first apply for a new card.
Conclusion
Planning a wedding can take a lot of time and can even be stressful at times. This is especially true when spouses and their families have to worry about money because there isn’t enough to go around.
Getting a wedding loan to help pay for the ceremony and reception could be a gift in disguise in these situations. But before you apply for a loan, make sure you know what the terms and conditions are.
