Weddings are an elaborate celebration of two people and their families coming together. It takes a lot of planning and budgeting to arrange a wedding. No matter how much money you have saved for a wedding, you may fall short and struggle to make ends meet. At such times, you can opt for an urgent personal loan required for wedding expenses.
When people run short on funds at the time of their wedding, they can seek a personal loan for marriage. The money received can be spent on wedding-related expenses, such as catering, garments, and hotel bookings. On the other hand, people who do not want to exhaust their savings also go for personal loans. This way, they can use that money on something else which may be more important than a wedding.
We will discuss some things to keep in mind before applying for a personal loan for marriage in the following article.
What to keep in mind before applying for a wedding loan?
There are certain things one should remember before opting for a wedding loan. Following these points will help you get a hassle-free wedding loan. You can use the money received as a wedding loan in the marriage-related expenses that may arise out of the blue during a celebration of this scale and measure.
- Sum Assured: Before applying for a wedding loan, you must clearly know how much money you need to borrow. Sum assured is the amount received as a personal loan from the lender, which depends on how much money you wish to spend on wedding expenses. A set amount of money could help you out of the financial crunch you are experiencing. It is worth keeping in mind that a higher sum assured means more EMIs and a longer tenure. Assess your financial needs before deciding upon a particular sum assured.
- Repayment Tenure: The loan repayment tenure is the duration you have to repay the money to the lender. Before applying for an urgent personal loan required for marriage expenses, decide upon the loan’s repayment tenure. This decision determines the volume of your EMIs. Once you know how much money you need to set aside as EMI every month, managing your finances becomes relatively easier.
- Interest Rates: Lenders who provide the facility of personal loans have different interest rates for borrowers. You need to be aware of the rates beforehand to choose the lender that provides you the loan at low-interest rates. You can go to the lender’s website to inquire about the interest rates offered by them or use the interest rate calculator online, which would give you an idea about your loan interest on a particular sum assured.
- Eligibility: Your eligibility would be the most critical factor for getting your loan approved for a wedding. Borrowers must meet the lender’s requirements. You can check your eligibility by entering a few details about yourself on an eligibility calculator. It would be better for you to ensure your eligibility before applying for a loan.
- Documentation: Documents that need to be submitted at the time of loan application should be compiled in advance. There must be accurate documentation of the personal loan for marriage. Make sure that you have the necessary documents ready while applying online. This way, you can upload documents easily and without any lag.
- Processing Charges: Most lenders charge a processing and administrative fee at the time of loan approval. You can inquire about the processing charges from the lender whom you want to avail of a loan. Make sure that you choose a lender that charges minimal charges. This is because, at times, processing and administrative costs are higher even than a month’s EMI. This can seriously affect your finances.
In conclusion, a personal loan for marriage is beneficial when you require urgent money for wedding expenses. During a wedding, emergent expenses arise from time to time, and with a personal loan in place, you can enjoy festivities without worrying about costs.