Planning a grand wedding is on the bucket list of many individuals. However, while you may want all the best decor, food, dress and ornaments, it can very well vaporise all your savings. To avoid this outcome, you can go for a marriage loan to cover your wedding costs without any financial burden. A wedding loan has several features that make it a popular choice among borrowers.
Features of Marriage Loan
Some salient features of wedding loans are as follows:
Substantial Loan Amount
You can get a high loan amount of up to Rs. 50 Lakhs. This money would be sufficient to plan your dream wedding. You can easily cover the costs of a destination wedding or purchase designer dresses and accessories just the way you imagined.
Easy Application Process
You can efficiently complete the loan application process from the comfort of your home. All you need to do is upload some essential documents and fill in some basic details while applying for the credit.
No Collateral Needed
You will not have to collateralise any land or jewellery for this type of credit. Therefore, you will not have to invest additional time looking for your property papers while filling out an application form. Also, you can wear your exquisite ornaments at your wedding.
Affordable Interest Rates
The interest rates of marriage loans are pretty affordable. This is easy on your pocket and reduces your monthly outgo considerably. Thus you can pay the monthly instalments on time without disrupting your budget.
Zero Foreclosure Charges
If you get substantial money as bonuses or from any additional income source, you can prepay your credit. The best part is that you will not have to pay additional charges to foreclose your loan.
Flexible Repayment Tenure
You can select a tenure of up to five years to repay your credit. So you can choose a shorter tenure to repay the marriage loan at the earliest or a longer one to repay it in easy instalments.
Considering these features, you can apply for a wedding loan to successfully meet the expenses of the big day. However, prior to that, you must fulfil some essential eligibility criteria to apply for it.
Eligibility Criteria for Marriage Loan
You must fulfil the following eligibility criteria to qualify for a marriage loan:
- Your age must be between 21 and 60 years of age.
- You must have a CIBIL score above 750.
- You should be a salaried or self-employed individual.
- Salaried individuals must have at least one year of work experience.
- Your minimum monthly salary should be Rs. 15,000.
The eligibility criteria can vary to some extent with financial institutions. However, once you tick all the boxes of the same, you can proceed to apply for a wedding loan.
Steps to Apply for Marriage Loan
You can follow the steps below to apply for a wedding loan:
Step 1: Navigate to the official website of a financial institution.
Step 2: Visit the ‘Personal Loan’ page.
Step 3: Click on ‘Apply Now’ button.
Step 4: Enter some basic details required.
Step 5: Verify your contact details by entering the OTP.
Step 6: Select an adequate loan amount.
Step 7: Choose an appropriate tenure to repay your loan.
Step 8: Upload the essential documents required
Step 9: Cross-check the data entered for errors.
Step 10: Click on ‘Submit’ button.
After the lender verifies your application and attached documents, they will approve your credit. However, you should also keep the essential documents ready to minimise the chances of errors.
Documents Required for Marriage Loan Application
The essential documents that you will need for a wedding loan are as follows:
- KYC documents such as Aadhaar card, PAN card, and Voter ID card.
- Last six months’ bank account statement for salaried individuals.
- Last two months’ IT returns for self-employed individuals.
However, there are certain things that you should keep in mind before applying for a marriage loan.
Things to Remember before Applying for a Marriage Loan
Below are certain things that you should remember before applying for a marriage loan:
- Compare among lenders: You must perform a thorough comparison among personal loan creditors on the basis of interests that they charge and the offers they provide.
- Determine the EMI beforehand: It is essential to determine the EMI using a personal loan interest rate calculator so that you easily plan credit repayment.
- Check your eligibility for loan: It is crucial to check your eligibility for a personal loan from the official website of the financial institution to avoid application rejection.
- Choose repayment tenure carefully: You must carefully assess your financial liabilities and current income while deciding the tenure to be able to pay the EMIs in a timely manner.
- Determine loan amount appropriately: A higher loan amount can attract higher interest rates. Hence, selecting an adequate amount to meet your marriage expenses is crucial.
Remembering the above points is imperative for a marriage loan. However, you should also keep in mind that it is vital to select a trustworthy financial institution with a good market reputation to stay safe from fraud.