The beginning of a deep, lasting relationship is marriage. But being ready for marriage is a completely different game. Planning the wedding festivities, including the wedding clothes, jewels, location, menu, gifts, and guest list, is a really enthralling event. Couples must, however, make financial decisions regarding the wedding behind the scenes. Every engaged couple takes a different strategy.Some people may rely on their family, while others may share the cost and pay for the wedding independently. No matter who is footing the bill for the wedding, it is always a good idea to set aside your hard cash, savings, and high-interest credit cards because depending on them could put a burden on your finances. Choosing a personal loan instead can enable you to stretch your budget. And if your concept of the perfect wedding is lavish but your financial condition prevents you from making that fantasy a reality, an online marriage loan or personal loan for marriage can help.
What is a personal loan?
A personal loan is a type of loan that allows you to borrow funds for a specific tenure. A personal loan’s core feature is that it is collateral-free. Generally, when loans are sanctioned by a bank or non-banking financial institution (NBFC), they require the pledging of a personal asset like a home, car, or an insurance policy to serve as security or guarantee that the borrower will repay the loan. However, personal loans do not require the pledging of an asset to be sanctioned. This feature is precisely what makes personal loans beneficial for borrowers. Personal loans have a repayment tenure of 1 to 5 years, depending on the lender. The interest rates for personal loans start at around 10% per annum and can go up to 15% to 20%, depending on the rates charged by the lender. The borrower has to pay back the principal amount during the chosen term and the interest repayment is through monthly payments or EMIs. The maximum loan amount sanctioned depends on the lender, but loan sanction amounts range from Rs. 25 lakhs to Rs. 60 lakhs.
What are the features and benefits of a personal loan for marriage?
You can take personal loans for various lender-approved purposes like higher education, home renovation, overseas travel, business needs, medical emergencies, weddings, or to consolidate high-interest debt. You might think offline/ online marriage loans and a personal loan for marriages is different, but it is the same. A personal loan is oftentimes referred to as a marriage loan because it is used for funding weddings. Offline or online marriage loans are popular because they:
- Do not require any collateral/ security
- Can be used for many aspects of a wedding
- Are approved and sanctioned within the same day
- Have flexible repayment tenures
- Have no hidden charges
- Have an easy application and verification process
- Have an easy-to-use and guided personal loan EMI calculator
In fact, the best personal loan for marriages go the extra mile and have additional beneficial features. For instance, they require minimal documentation, have zero penalty charges for pre-payment or foreclosure, and have reasonable interest rates. You can use the online marriage loan for extending your dream wedding budget instead of hassling around, emptying your savings, or requesting others.
What are the eligibility criteria for a personal loan for marriage?
Whether salaried or self-employed, any individual can apply for a personal loan for marriage or any other purpose. Generally, the individual’s annual income has to meet a specific limit, which is variable depending on the lender. The usual minimum income is set at Rs. 5 lakhsfor the lender even to consider the borrower as fit to repay the loan. Moreover, because a personal loan for marriage requires no asset or guarantee to serve as security, the eligibility criterion is more stringent. Lenders will consider your age, citizenship, work experience, monthly/ annual income, and type of employment, among others.
Moreover, they have to see whether you have the capacity to repay the personal loan within the designated period. Your credit history and CIBIL score also influence the lender’s decision-making process. Those whose professions are on the securer side, like chartered accountants, doctors, company secretaries, government/ private teachers, or lawyers, can get quick approval. Those applying for a joint offline or online marriage loan or those who can get an individual from a securer profession to co-sign their loan application can increase their chances of loan approval. The list of professions depends on the bank or NBFC in question.
What are the documents required for an offline or online marriage loan?
To check your capacity to repay the loan, lenders might more or less ask you to submit these documents:
Address proof like electricity bills, voter ID card, Aadhar card
Identity proof like Aadhar card, PAN card, passport, driver’s license
Income proof like salary slips, letter of employment, income tax returns, net earnings, and other financial documents
Passport-sized photographs
For an online marriage loan, you will also have to go through the Know Your Customer or KYC process which takes only a few minutes to complete. Depending on the lender, the application process can be a breeze as well, taking less than a few minutes.
How to calculate how much you need for an online marriage loan?
Everyone’s wedding needs are different, depending on the type of marriage they envision. Whether you want a modest wedding, a lavish, all-out, big fat Indian wedding, or a wedding that strikes a balance between the two, there is a very easy way to calculate how much you exactly need from a personal loan for marriage. You can use a personal loan EMI calculator online on most lender websites in 3-5 quick, simple steps. Most calculators are free and easy to use and give you instant and accurate results. All you have to do is:
Visit the lender’s website
Enter the desired loan amount
Pick an interest rate suitable
Choose a convenient and comfortable repayment tenure
Click on submit and get your EMI amount in an instant
Some lenders might even ask for basic personal information like your name, age, and contact details. Knowing how much you need to pay for the loan amount you wish to borrow can help you plan out your EMI payments without messing up your day-to-day expenses and other financial needs. Using an online marriage loan EMI calculator also prevents you from defaulting and making any miscalculations.
To conclude:
It is no secret that wedding expenses, especially in India, can hit the roof. Even the most modest or well-intentioned weddings can become a costly affair. Instead of worrying about securing money for the wedding, you can opt for a personal loan for marriage. Relying on a personal loan for marriage can ease the entire wedding process. Choosing credit success for your personal loan needs will ensure you get round the clock assistance while applying for an offline or online marriage loan, competitive, reasonable interest rates and flexible repayment tenures, and complete transparency throughout. You will also have minimal documentation, a quick approval, and easy disbursal of loans.
