Summary: A Marriage Loan is a personal loan that you can take for the expenses related to your special day. Compare and explore all the options and rates before finally applying.

Descriptions: Marriages in India comes with a celebration cost. The wide array of traditions, huge guest lists & the incomparable splendor are momentous indicators of big fat Indian marriages. Every bride-to-be and groom-to-be makes great plans for their wedding day to be memorable and magnificent. From the selection of venue, DJ, fireworks, decoration, food, jewelry and wedding dresses, the list is simply limitless.

The cost of wedding celebration can take a huge toll on your personal savings. Add to it the expenses of honeymoon and purchasing a house, and the signs of stress will begin to appear as soon as you say your wedding vows.

A personal loan can be your friend in deed to make your dream wedding possible. It will help you give a complete peace of mind about finances for your big day. Listed below are some reason to opt for a personal loan for marriage. Let us take a look.

What is a Marriage Loan?

A wedding loan is simply an unsecured personal loan i.e. to avail this type of financing you don’t need to provide any collateral or asset as security to the lending institution. Being a personal loan by nature a borrower can utilize the funds for any reason and weddings and honeymoons among them.

How to Get a Wedding Loan?

There are several banks, NBFCs, credit unions and P2P lending platforms who provides personal loan for wedding. In general, you can borrow up to ₹10 lacs through banks, NBFCs and peer-to-peer lending platform to finance your wedding. The interest rates are based on creditworthiness, financial background and debt-to-income ratio of the borrower. Typically, you can expect rates in the middle of 12% p.a. to 36% p.a. with tenure of up to 36 months.

NBFC-P2P lending platforms offer specific customized wedding financing that can be used to pay for all wedding related expenses. The P2P lending platforms can be the least expensive option for a personal loan as interest rates can be negotiated between the lenders.

The Personal Loan Eligibility

All the financial institutions will look at your credit report and overall debt-to-income ratio. Generally speaking, your credit score should be above 750 and debt-to-income ratio under 40%. The P2P lending platforms also factor in your educational and employment history in the loan application, which can be a boon for those borrowers with a bit jeopardized credit history.

Rather than grabbing the first deal in your hand, you must check and compare the rates from various lending platforms. However, avoid making too many credit enquires, it might get reflected in your credit report.

Finally, A Fair Advice

A wedding loan is surely an attractive option to explore; however, one needs to be cautious. Do not go overboard with your wedding expenses and shopping. Only apply for an Instant Personal Loan if you can pay back to the lending platform since - Every % counts.

Author's Bio: 

Faircent is India’s leading Peer-to-Peer lending platform offering lenders double digits returns as high as 36%, while borrowers can Apply for personal loan with minimum rates. Our mainstream services include loan for marriage, home appliances, home renovation and business funding. Visit our website to check your eligibility.