A wedding is a joyous and momentous occasion which every individual looks forward to. However, a sharp rise in wedding costs over the years has also made it an expensive affair. In the UK, walking down the aisle with your loved one isn’t less than £30,000. London, Scotland and Northern Ireland are the most expensive places to get married, says a new survey. Now, inspite of savings and a little family help, most couples are going for wedding loans to make their dreams come true. But, is it really practical and are they available to people with a poor credit score? Let us answer these questions for you. But first, a breakdown of UK wedding cost.
Average Wedding Budget Breakdown
The major elements that add up to the high cost and necessitate taking wedding loans are:
- Wedding venue: £ 2,790
- Catering: £3,950
- Photography/video: £1,050
- Flowers: £639
- Cake: £300
- Wedding dress: £1,380
- Engagement ring: £3,036
- Honeymoon: £4,000
Why Should I Take Wedding Loans?
A simple reason: weddings are meant to splurge and lack of money shouldn’t hold you back. Whether a low-key ceremony or a no-expense-spared grand function, there’s no price tag for your dream day. Wedding loans is a type of personal loan and one of the easiest and most convenient ways to fund your big day. Fact: the most wedding loans are taken at the age of 26.
Are Wedding Loans Available For Bad Credit?
Who said people with a bad credit score can’t have a great wedding? Everyone wants their nuptials to be perfect and we aim at delivering that joy and happiness. From a wedding ring to arranging for food and drink, wedding loans for bad credit can help you every step of the way. Providing you can keep up with repayments, your chances of loan approval are pretty high.
Advantages Of Wedding Loans
- No need to be thrifty and save:
Nowadays, there’s little reason why couples would want to save a lot towards their wedding bells. People find it more practical to spend their money in whatever way they like. Because they trust that they can always borrow wedding loans, good credit or not to make up for the shortfall. For example, borrowing £15,000 for three years.
- Low Interest Rates:
The best wedding loans deals come at low interest rates of 4% for a loan amount between £7,500 and £15,000. Therefore, it’s a relatively cheap way to finance your big day.
- Allows For Precise Budgeting:
Repayments of wedding loans are generally a fixed amount every month. This allows the couple to budget precisely to the pence. You can choose to pay off the loan anytime between one to five years. The average time people take to pay off their wedding loan in full is 50 months.
- Early Repayment Flexibility:
If you come into money from an unexpected source like an inheritance, you could also clear your wedding loan earlier. A shorter timeframe means that your overall interest will be lesser than what you would otherwise owe. Whereas if you want a number of small monthly repayments, the interest will be higher in the long run.
- Payment holiday:
Sometimes, you can ask for a payment holiday of two or three months at the beginning of an agreement. This ensures that you have breathing space and no payments as you settle into your newly married life.
Disadvantages Of Wedding Loans
- Higher Interest Rates For Small Amounts:
It’s a fact that the more you borrow, the cheaper you obtain credit. This is true in case of wedding loans too. Though 4% for an amount between £7,500 and £15,000 seems attractive, loans providers offer a higher interest for amounts lesser than this.
- Credit Footprint:
Though wedding loans for bad credit are easily available given the competition in the loans market, lenders do look at your credit file. That means they might leave a credit footprint on your file making it difficult for you to borrow in future. However, we specialize in bad credit loans and only require you to meet an affordability criterion.
- Best Deals Not Accessible:
If you have a poor credit history, banks and high street lenders may ask for a higher interest rate or refuse credit altogether. If it becomes difficult to access wedding loans elsewhere, you should come to us!