How to Create a Wedding Finance Budget: Say I Do!

A third of couples getting married in 2019 plan to borrow over $10,000 to cover wedding bills, with sixty-one percent of engaged couples planning to charge the expenses to their credit card. Over the past few years, there has been a significant increase in the number of couples looking to finance their dream wedding through loans. While there is no problem with taking out a wedding loan, it is important to consider several factors before getting into debt. 

As the demand for wedding loans increases, the wedding finance industry keeps growing. This has also led to a rise in the number of wedding loan lenders. While this presents borrowers with more options to choose from, it also makes it more difficult to make the right choice. The good news is that consumers looking for wedding financing can do their research through a third party that is not in the loan business. We make it possible for borrowers to find a lender easily and conveniently, effectively helping you to enjoy a hassle-free borrowing experience. However, it is also important to create and stick to a budget. Here is what you need to know about creating a wedding finance budget.

 

How to Create a Wedding Finance Budget

The importance of creating a wedding finance budget cannot be denied. However, you will need to come up with a realistic budget that you can stick to. Here are the steps to follow when creating a budget.

Determine the Type of Wedding You Want

The first step would be to determine the type of wedding you want. This means considering your guest list to decide whether it will be an indoor, outdoor, church, castle on the coat or destination wedding. If you are keen on saving, you should limit your guest list.

Choose Your Non-negotiables

As a couple, open and constant communication will help you understand what each of you wants from your wedding day. Think about what is important and what is not so important. As you begin the process of creating a budget, you should have a list of both the most valuable and most trivial items.

Have the Budget Talk

You should start by having the budget talk as a couple. Once you have done this, depending on your financial circumstances, you can have a conversation with your parents about their role in your wedding. If they are willing and able to help, you will need to know how much they intend to contribute.

Establish How Much You Need

Just like with any other expenditure, you will have to establish how much you need if you are to budget properly. Based on the dream you want and your non-negotiables, you will be able to arrive at a cost. A basic breakdown of what you should expect to pay includes reception, ceremony, attire, flowers, entertainment, photography, wedding rings, and transportation.

Prepare for Surprises

In order to ensure that the amount of money you set aside will be enough to cover your wedding expenses, you should prepare for surprises. Some of the items you budget for may end up costing more than you had expected. This is why you should have some money to handle any unexpected expenses.

Decide How to Raise the Money

Another important part of creating a budget will involve deciding how you will raise the amount needed. You can choose to save for the occasion, get a side hustle, request financial support from friends and family, or get a wedding loan.

Track Your Expenses

Lastly, creating a wedding finance budget will not be complete without tracking all expenses. Make sure you stick to the budget if you are to avoid frustrations and ensure your wedding is successful.

What Is a Wedding Loan?

Before taking out a marriage loan, it is important to have enough knowledge about the product. This will help you make the right decision and ensure you understand the financial commitment you are getting yourself into. With the different alternatives that you can consider, knowledge of the loans will help you determine whether it is the right option based on your circumstances. 

A wedding loan is simply a kind of personal loan that is designed for newlyweds. The loan is used to cover the expenses that couples are not able to handle at the moment but can afford it with a little time. Most of these loans offer special interest rates, terms, and bonuses in order to ensure that debt is manageable in the period following the vows. These loans have a specific term and are designed to be repaid in equal monthly installments. 

Figuring out how to fund your dream wedding can make for a stressful and frustrating experience, especially if you do not have the money required to make immediate deposits or pay bills upfront. However, exploring the various wedding finance options can make it easy for you to have a successful occasion without increasing your debt burden. 

Types of Wedding Loans 

Once you have made the decision to take out a loan to finance your wedding, it will be necessary to familiarize yourself with the different types of wedding loans available. Choosing the right wedding finance option will require that you not only look at your needs but also consider your circumstances. In the end, the option you go for should let you enjoy your special day without causing financial constraints in the years that follow. Here are some types of wedding loans:

Secured vs Unsecured Loans

Unsecured personal installment loans are not backed up by any form of collateral. Instead, the loan is supported by the creditworthiness of the borrower, making this a flexible option. On the other hand, secured loans are issued and supported by collateral. Collateral is a financial asset such as a car, home, or stocks owned by the borrower. In the event that you do not repay the loan, the lender will have the right to use the asset as payment. 

Fixed vs Variable Interest

Fixed-rate loans have a set interest rate that does not fluctuate over the term of the loan. This makes it easy to plan since the amount and number of installments remain the same throughout the period. Unlike fixed-rate loans, variable interest rates are where the interest rate on the outstanding balance can vary. This will usually depend on changes in market interest rates. 

Bad credit

Just as the name suggests, a bad credit wedding loan is designed for people who have been turned down by the more conventional lenders due to poor credit. Most of these loans tend to have high-interest rates, making it important to determine how much you need before applying. 

Debt consolidation

In case you have multiple loans and expenses, you can take out a debt consolidation loan to pay off old loans. This allows you to focus on a single loan, making it easy to track payments and ease the debt burden. 

Signature loans

These loans are also known as character loans. They are given in good faith, with the borrower’s signature and promise to pay. Mostly, there has to be an existing relationship with the lender before you can qualify for this type of wedding financing

Pros and Cons of a Wedding Loan

A wedding loan is a personal loan that people use to pay for their celebration. Depending on the lender you choose to work with, you may be required to indicate the purpose to which you intend to put the borrowed funds. Here are the advantages and disadvantages associated with these loans.

Pros of Wedding Loans

One of the main benefits of these personal loans is that they are typically installment loans. The fact that they have fixed repayment terms means that you will have a good idea of when you will be able to pay off the debt. Secondly, the different financial institutions offering these loans present borrowers with different options to choose from. With wedding loans, consumers enjoy the flexibility of selecting the amount they wish to borrow, and depending on your credit, there is a chance you will qualify for a lower interest rate on the loan. 

Other benefits of wedding loans are that you will not need to dip into your savings account, and there will be less of a financial burden on your loved ones to help cover the costs. Applying for a loan to cover wedding expenses allows you to focus on planning the event as opposed to how to afford it. 

Cons of Wedding Loans 

For all the advantages associated with wedding loans, the wedding finance option is not without its downsides. A wedding loan will mean an extra monthly expense when you start repaying the loan. This is why you should ensure you can afford the loan before signing the personal-loan agreement. In case you have poor credit, you are likely to find yourself paying a higher interest rate. Secured loans use your property as collateral, giving the lender the right to sell the assets in the event that you are unable to pay the loan. 

Reasons to Get Loans for Wedding Expenses 

With the numerous risks associated with choosing loans as a wedding finance option, one may wonder why anyone would take out a loan for this purpose. Since wedding loans can be used to pay for any wedding expenses, there are different reasons why people choose to apply for these loans. The following are some of the reasons why a couple may choose to take out a loan for a wedding

  • In case the bride wants a dress that you cannot afford, you can opt to take out a loan to supplement what you have
  • Wedding finance can also come in handy if you want to book your honeymoon but need to make payments upfront to reserve a room, flight or cruise ticket
  • There are times when you will have to pay for certain services upon booking. A quick loan can help cover the costs of the venue, photographer, band or DJ, florist, and other professionals
  • A couple may decide that taking care of all expenses at once and making payments is more convenient for them than having to do it a little at a time
  • If you have been trying to save but find it difficult to make progress, you may not want to wait. A couple may opt to take out a loan and commit to making payments over a period of time

The reasons why people get loans for wedding expenses vary from one couple to another. It is necessary to ensure that you have a good reason to take out a loan in order to avoid getting into unnecessary debt. Working with a financial expert will go a long way in ensuring you make the right decisions for your big day. 

Factors to Consider before Taking Out a Loan for a Wedding

There is no doubt that getting a wedding loan to finance your celebration is a huge commitment. This is why you should consider several factors before taking the step. Make sure you talk as a couple and agree prior to taking on debt. 

Is it necessary? Financial experts advise that you only get a loan if it is absolutely necessary. In case the wedding will not happen without the borrowed funds or the day is so important to you, you can consider getting a loan. 

Do you qualify? You will also have to find out if you qualify for a wedding loan. Some of the factors you will have to be mindful of include your credit score, employment stability, income, among others. 

Will you afford it? While you may qualify for the loan, you must ensure that you will be able to repay the monthly installments without straining financially. Delayed or missed payments will have a huge impact on your finances and credit. 

Have you explored other options? Loans are accompanied by interest rates, the risk of impacting your credit negatively and in some cases attaching collateral as security. This is why you should turn to loans once you have explored other wedding finance options available to you. 

Do you have a backup plan in case the unexpected occurs? Although nobody plans to lose their job or get a pay cut, you should always prepare for the unexpected. Make sure you have a backup plan on how you will make a couple of payments in the event of such challenges. 

Getting a Wedding Loan with Bad Credit 

It can be frustrating if you do not have enough money to fund your wedding and cannot access loans due to your credit score. You can still get a loan to finance your big day even if you have bad credit. Bad credit wedding loans are designed for people who have poor credit and have been turned down by conventional lenders. There are a number of steps that borrowers can take to increase their chances of being approved.

Today, there are certain lenders who offer bad credit wedding loans. However, if you have poor credit, lenders will consider you a high-risk borrower. This may see you paying higher interest on the loan. Since some of the bad credit loans tend to have predatory characteristics, you should go through the loan agreement carefully to make sure that you do not end up in financial trouble.

Improve Your Credit Score

Also, you should consider working to improve your credit score. This may involve paying your bills on time, reducing debt, and adopting healthy financial habits. Generally, improving your credit score will help to increase the loan opportunities available to you, ensuring you can access money in case of a financial emergency. 

Other options you can think of include getting a co-signer or putting up collateral as security for the loan. In order to make the process of getting a loan with bad credit easier, you should consider working with a third-party that is not in the lending business. We make it possible for borrowers looking for wedding finance to find lenders so that they can have their dream wedding. 

5 Ways to Fund Your Dream Wedding

Wedding finance does not have to be in the form of a loan. There are many other ways that couples planning their wedding can use to fund the event. However, in order to avoid taking out a wedding loan, it will be necessary to ensure proper financial management.

Savings

The best way to fund your dream wedding is to save money for it. This will allow you to enjoy your day without worrying about paying the money later and also help you avoid paying interest. In order to save comfortably, you will need to calculate your costs and start early enough. 

Consider a Side Hustle

In case your savings plan is going to take too long, you can consider taking up a side hustle. Adding another source of income will increase the amount of money you are able to pay each month and speed up the process. 

Accept Financing from Friends and Family

It is important to save for part of the finances you need. However, you can also ask for financial assistance from your loved ones. Make sure you plan out the costs before asking them any parts they would be willing to help pay for. 

Cut Back on Expenses

Rather than looking for ways to raise more money, you should also think about cutting back on expenses. If you are working with a tight budget, you can talk as a couple to remove any items that are not a must-have but require money. 

Settle for a More Realistic Dream

Although most couples will not want to hear this, it is an essential point to keep in mind. Wedding finance can damage your finances and hurt your marriage. This is why you need to be realistic about the size of the event, decorations, and catering services.

Your Guide to Avoid Borrowing Money for your Wedding

Tips For Saving Money on Your Wedding 

It is clear that cutting back on expenses will go a long way in ensuring the money at hand covers all the necessary expenses. This also means that you will be in a better position to avoid expensive wedding finance options. Here are some tips for saving money on your wedding. 

Timing

If you are looking to save money, you may have to make some hard choices. Having your wedding on a Friday or Sunday as opposed to a Saturday will help you save close to 50 percent. Since summer is an expensive time to have a wedding, you should also consider having the celebration in the winter. 

Decorations

Decorations such as flowers play an important part in ensuring the venue looks beautiful and welcoming. However, this is one of the key areas where you can save money. You should not only make sure the flowers you want to use are in season but also go for flowers with bigger buds as they take up more space. 

Meals and Refreshments

Changing a sit-down dinner to a buffet-style one will help to decrease costs. When it comes to the cake, have a one-tier cake for display and a sheet cake cut for your guests. You also have the option of doing away with the cake and having cookies and brownies for dessert.

Save Money on the Dress

This is one of the items on which couples spend a lot of money. Going for a simpler dress will help you save a significant amount of money. You can also purchase a pre-owned dress or rent a dress for the occasion. 

Accept Help from Friends and Family

Non-monetary assistance from friends and family can also help you cut down on expenses. If one of them is a DJ, photographer or can offer other professional services, you will be able to access the services at a discounted price or for free. 

Keep the Wedding Small

The smaller the wedding, the less it will cost. If you have a limited budget, you should invite fewer guests, book a smaller venue, and spend less on decorations and logistics. 

Be Creative

Being creative will go a long way in helping you avoid taking out a wedding loan. Be sure to come up with innovative ways of cutting down on dependence on expensive sources of wedding finance. 

 

Final Thoughts

Although wedding finance is central to ensuring a successful day, it takes much more to make the event perfect. Financial education and literacy will ensure that you make informed and conscious decisions, regardless of whether or not you take out a loan for a wedding. Such knowledge will also be important when it comes to comparing the various wedding financing options and settling on the right one. If you decide to get a loan, you can work through us to make the process of finding a lender easier. 

Wedding Loan Lenders Search: Loans 411

Weddings are such an important and memorable time in our lives. They also can be one of the most expensive. Few people save money just for a wedding. When the time comes, they often do not have the money to pay for it. Not only that, but the expenses add up quickly. It is easy to get caught up in wanting to have everything at your wedding. Most people want to invite all the people they know to one of the happiest days of their lives. But, that comes with a cost, literally. Do not lose hope. There are ways to pay for a wedding. Using a wedding loan lender search may be a helpful way to search wedding finance options. There are many things to keep in mind when planning your big day. Keep reading for other ways to pay for your wedding.

Can I Get A Loan To Pay For My Wedding?

There are many expenses associated with paying for a wedding. It starts with paying for the wedding rings. Often people mistakenly associate the depth of love with the size of the diamond in a wedding ring. Do not get caught up in the pressure to buy a huge ring that is more than you can afford. There are several ways to pay for a wedding ring.

You can use an existing credit card to pay for the ring. If you have a credit card that gives you no interest charges, that is a great option. You can purchase the ring today and pay it off over time without any additional interest. Keep in mind that you have to pay for the ring in full by the end of the interest-free period. If you do not, interest accrues from the date of purchase. Do not get caught paying all that interest. Often, jewelry stores offer special promotions. They may offer discounts or special in store credit. Do your research and find a store that gives you the best offer. This could save you a lot of money.

How Can You Pay for it?

Even though many are waiting until a little later in life to get married, paying for it is challenging. How do you pay for a reasonable wedding when you have no money? This may be the time when you have to make hard choices. You have to decide what is most important to have for your wedding. You should make a list of all the things you want. Decide which of those items are absolute must-haves. Of the items that are left, decide which of those you do not feel strongly about. Put them in a separate column and consider removing them from your wedding plans. This could save a significant amount of money, when you are already strapped for cash.

Once you have made all the decisions about must-haves, now is the time to figure out how to pay for your wedding. It is possible to get loans for wedding expenses.

A wedding loan is a personal loan, that does not require collateral. It is considered unsecured. A wedding loan guarantees that you have a set payment amount every month for a specified period of time.

These loans have interest charges, so you will pay more than the face value of the loan. There are many lenders available for personal loans. It is important that you find the right one for you. You can use a wedding loan lender search to find the best lender for your needs.

Can I Get A Wedding Loan With Bad Credit?

You have decided that you want to obtain a loan to pay for your wedding. However, you are not sure how your credit looks. The good news is you can get a wedding loan if you have bad credit. There are some things you should know first. When a lender decides to give you a loan, they look at your credit score. If your credit score is below 650, that is considered bad credit.

You should know your credit score before you attempt to get a loan. Knowing your credit score helps prepare you for how to get a loan. You can also get a copy of your credit report to see if there are errors. If there are errors on your credit report, you should fix them. This can increase your credit score. This helps you get better loan terms. Before getting a loan, pay off as much debt as you can. This increases your credit score. Save as much money as you can so that decreases the amount of money you need to borrow. These things are probably easy to say, but hard to do.

A wedding loan lenders search is a quick way to see which lenders are willing to give you money. Remember, the better your credit, the easier it is to get a loan. Also, remember that getting a loan can impact your credit. If it is already questionable, this may not be the route you want to take.

Save Money!

The more money you save for the wedding, the better your chances are to get a loan. This also means less money you pay back after your wedding. The last thing you want is a lot of debt when starting a life together.

If you feel that a wedding loan is a way to go, shop around to find the best one for you. Use a wedding loan lenders search to find the best lender. You can apply for a loan online and get a quick response. Online lenders often give you a response in less than a day. They deposit the money directly into your account making it super easy for you.

Before making the final decision on a wedding loan, make sure you can pay it back. Not being able to pay back a loan puts you in a terrible position. It causes your credit score to decrease, which makes life harder for you. You and your new spouse may not be able to get a house, apartment, or car. That is not a good start to a marriage. If you default on your loan, you may have collections after you. Be sure that you can handle the terms of the loan before signing any contracts.

Should I Get A Loan To Pay For My Wedding?

Deciding to search for a wedding loan may be a hard decision. It is not one you should take lightly. Often we want other people to tell us the best thing to do. However, in this case, you are the only one who can decide.

Deciding to get married is a big decision. Deciding how to pay for it is just as big. Some couples decide that taking out a loan for one lump sum to pay for everything at one works best for them. They would rather make one set payment each month, instead of paying on credit cards or paying multiple sources. For these couples, if they have the money to make monthly payments, it works for them. They may also have the money to make larger monthly payments to pay off the loan sooner. This may be an excellent decision for them. You have to decide if this scenario works for you. You should do a wedding loan lenders search in this case.

Feel Confident!

Putting yourself further into debt is a huge decision. You should feel confident about your choice. You and your future spouse need to both be willing to take on the debt. It follows you into your marriage. If you take out a loan, you may pay it back for three to five years. There are short-term loans available with shorter repayment terms. These loans tend to have a higher interest rate. Typically, you repay these types of loans in one to two payments. These are only a good idea if you have the full loan amount to pay back.

However, if you do not have the money to make monthly payments, a loan may not be the way to go. Instead of a wedding loan lender’s search, it may be useful to find ways to lower the cost of the wedding. Lowering the cost is possible, but you may have to be extreme in what you cut.

Can I Save Money When Paying For My Wedding?

No one wants to start their wedding planning by thinking of what they are going to cut. Many people have been planning the wedding of their dreams since they were little. Often people are not willing to even consider reducing the cost of their wedding. Believe it or not, there are some easy ways to have the wedding you want and save money.

Consider Your Thinking

The first place to start is your thinking. It is important to keep in mind why you are getting married. You are marrying the love of your life. This is the person with whom you are choosing to spend the rest of your life. That is what is most important. The doves, the ice sculpture, and the open bar are not as important. Your love and bringing the two of you together need to stay at the forefront of your mind. If you can make that the most important thing, it is easier to make cost cuts.

Create Your List!

Create a list of all the things you need for your wedding. Write anything down that comes to mind. Do not worry about how extravagant it may seem, just write it. Together with your future spouse, determine which of these things you actually need. This is where you can begin to cut down your list. Focus on what is important and begin slashing items. You can always have a column on things that you are not sure of their importance. If you have money left over, you can move them back into the must-have column.

Try to Reduce Cast as Often as Possible

Start with easy cost reductions. You can reduce the cost of your cake by keeping it simple. Staying with a simple design keeps the cost down. Make sure the cake slices are thinner so the cake goes a lot further. You can display a small tiered cake but serve your guests a sheet cake. The sheet cake is kept in the back and the guests never know.

Your dress is another area where you can find major cost savings. You can borrow a dress from someone you know. You can buy a vintage dress from a second-hand, or consignment, shop. Also, you could buy a leftover dress from last season. Sometimes, you can even find a dress that is not ‘perfect’. There may be a slight imperfection in the dress that no one can see. Dress shops, however, will not sell a dress like this for full price.

Think Outside the Box!

One of the largest costs of a wedding is the venue. If you are willing to get creative and think outside the box with the location of your wedding, you can save money. Consider using a friend or relative’s home, especially if they have a large space. Also, consider having your wedding at an off time. Fall and summer are popular times to have a wedding, so stay away from those times of the year. Maybe a winter wedding might be a good idea. Saturday is the most popular day to get married. It is also the most expensive. Choosing to get married on a Friday night can cut your cost considerably. If you decide on a Friday night, you should give your guest an advanced warning so they can make all arrangements to be there.

Even if you know you are going to search for a loan for your wedding expenses, you should cut them as much as possible. Decreasing the cost of your wedding means less money for you to borrow. This means less money for you to pay back. Use a wedding loan lenders search to find the best lender for you.

Be Sure to Make the Difference Between What You Want and What You Need

When it comes to planning your wedding, it is easy to get caught up in what you think you need. There is a huge gap between what you think you need and what you really need. It may be helpful for you to talk to people that you know who recently got married. They can give you insight into what they did that was not needed. They can also tell you what they did that meant the most to them. This may help you decide what to keep and what to remove. Creating a budget and saving as much money as you can is the key to your wedding day. You do not want to start your married life burdened with bills. Money is one of the major things couples fight over. Do not set yourself up for that before you are married.

There is no right or wrong answer when it comes to your wedding plans. You should do what makes you and your future spouse happy. Do not do what makes other people happy, unless they are paying for it. When considering a loan, make sure you can pay it back. Make sure you use a wedding loan lender search to find the right lender for you. There are many lenders and loans available to you. You should find the one that fits your needs and your budget. A wedding loan lender search is a great way to find the perfect lending resource. You can also find out how large of a loan you can get and keep your wedding spending within that limit.

Conclusion

If you already know that you are not able to pay back a loan, then do not get one. Lenders are serious about getting their money. They will do whatever it takes to get the money you borrowed. Do not put yourself in a worse financial position by taking out a loan that you cannot afford. Be smart about your wedding plans. This is the start of your life together. Do not put yourself in a bad position because you are not willing to cut some things out of your wedding. Maybe you need to wait another year to get married so you can save up the money you need. This way you may not need a loan. Or, you need to borrow less money. Keep in mind, a wedding loan lender’s search is a great tool for finding the right loan for you, when you need one.

Your wedding should be a happy occasion. It should not be one that fills you with stress and dread. Do not let the cost of things create a dark cloud over your happiest day.