Marriage is the start of a meaningful, long-lasting relationship. But preparing for marriage is a different ballgame altogether. Planning the wedding dresses, jewellery, venue, cuisine, gifts, and guest list, among other wedding festivities, is a very mesmerizing experience. But behind the scenes, couples have to decide the financials of the wedding. Each to-be married couple has a different approach. While some might rely on their family, others might split the expenses and pay for the wedding themselves. Irrespective of whoever is paying for the wedding, it is always a good idea to keep your hard cash, savings, and high-interest credit cards aside, as relying on these options might put a financial strain on you. Instead, opting for a personal loan for marriage can help you stretch your budget. And if your idea of a dream wedding is all things grandeur, but your financial situation cannot fulfil that wish, then an online marriage loan or personal loan for marriage can make it a reality.
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:
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:
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:
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.
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 Poonawalla Fincorp 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.
How magical was the day when you discovered your career path? After a lot of research, putting in so much hard work, late nights, your heart and soul, you have become what you are today.