We Indians love lavish weddings. Even if they don’t want a big wedding, some couples would probably want one that is memorable. But even a small wedding costs a lot. However, marriage loans can help you plan a beautiful wedding.
A marriage loan has many advantages. There are also eligibility requirements and interest rates that you should know before applying for a marriage loan. Here is everything you should know about marriage loan interest rates and repayment tenure
Why should you take advantage of a marriage loan?
There are many reasons to get a marriage loan besides money, and here are some reasons to consider a marriage loan.
- Your dream of an unforgettable and magnificent wedding is one of the main reasons for taking a marriage loan. To realise this dream, you need money. For that, we can take a marriage loan.
- Every working person with a tight budget can use a marriage loan. The loan gives the couple the freedom to plan their wedding.
- With a marriage loan, you can book your dream wedding venue, choose the caterer you’ve been eyeing, and pick out your wedding lehengas and Sherwanis.
- Your loan funds can also be used to plan pre-wedding shoots or your honeymoon.
- Of course, when considering a loan, you must consider where to apply, interest rates, and other factors.
What Are the Things to Consider Before Taking a Wedding Loan?
As with any loan for personal use, you must gather information before applying for a wedding loan. Consider these things before applying.
Marriage loan requirements
To apply for a marriage loan, the applicant must meet certain criteria since it is a personal loan.
- Loan applicants must be Indian citizens.
- You must be a full-time employee. It would help if you worked in the private or public sector.
- You must have the minimum required work experience and be at your current company for at least three months.
- You must have a minimum salary as required by the lender. This will vary depending upon the city you put up in.
Marriage loan rates
When applying for a loan, interest rates play an important role. There will be variable interest rates for marriage loans.
An EMI calculator can estimate your monthly payment for your loan instalments. You must enter the loan amount, interest rate, and tenure (months of repayment). After entering these, the calculator will display your monthly payment.
Marriage loan documents
Marriage loan applications require certain documents.
- You must prove your Indian citizenship to get a loan. A PAN card is needed to prove identity.
- Your Aadhaar card proves residency.
- You also need monthly salary slips to prove employment.
- Your salary bank account statement is required. This document verifies that you have received your salary in the same bank account for the minimum stipulated period.
Benefits of Marriage Loans
Many people around the world value marriage. However, it also incurs high costs. Couples work hard to have a memorable wedding. It lets them quickly apply for a marriage loan to cover their extensive wedding expenses. It’s scary to apply for a marriage loan as one may think loans can solve all your problems. However, you must understand marriage loans’ pros and cons.
- Pros of a marriage loan
Maximum loan amount
When you apply for a marriage loan, the lender needs to know your income, employment history, credit history, etc. With the loan amount, you can more precisely budget for your needs.
The fact that you don’t have to pledge any valuables or property as security for the loan is a major plus. You will be approved if you meet the criteria set forth by the lending institution.
Tenure of repayment
The time frame for paying back the loan is flexible and practical and can be selected at the time of application.
- Cons of Getting a Marriage Loan
You will require a good score on the CIBIL
A marriage loan is unsecured as it does not require any collateral. Because of this, the lender will view you as someone who can be trusted. In addition, you’ll need a good CIBIL score if you want to apply for an unsecured loan.
Deciding to go for a longer tenure period
If you extend the time required to make payments on the loan, the interest paid will also increase, which can be quite costly.
Examining and contrasting the various interest rates offered by various lenders
It is essential to research the varying interest rates offered by various lenders. You must choose the right lender to avoid making payments that you can reasonably afford.
Loans for weddings are a godsend that enable us to carry out our fairytale wedding. And to apply this lovely elixir of dreams, you need to have the appropriate documents and satisfy the eligibility requirements. Marriage loans can help you greatly, but they also have some drawbacks that you need to be aware of.
These loans do not require you to provide any collateral; you need to repay the loan within your chosen time frame. The application can be easily submitted online. On the other hand, it does come with some drawbacks, such as the requirement that you have a high CIBIL score and the obligation to do extensive research on the various interest rates currently on the market. But in most cases, the benefits outweigh the drawbacks; the desire to have the kind of wedding you’ve always dreamed of becomes more important than the challenges you must overcome to make it a reality.