Weddings are wonderful events filled with love, joy, and celebration. However, they can also be incredibly expensive. According to a study by The Knot, the average wedding cost in 2020 was $19,000, while some couples spent upwards of $100,000 on their big day. While saving for a wedding is the ideal way to cover the expenses, what if you don’t have enough money? Well, some people opt to take out personal loans to pay for their wedding day. In this blog post, we’ll discuss why some couples choose this option.
Reason #1: Lack of Savings
Many couples don’t have enough savings to cover the cost of a wedding. Weddings are a one-time event, and most people don’t allocate a large savings fund for such an occasion. Wedding loans Singapore provide a quick solution for those who don’t have the savings to pay for a wedding expenses in full. The loan process is quick and easy, and the funds are usually dispersed within a few days. Personal loans have lower interest rates than credit cards, which makes them an attractive option for those seeking loans.
Reason #2: Desire for a Dream Wedding
For many couples, their wedding day is their dream day. They envision a fairy tale wedding that may not match their budget. A personal loan enables couples to have their dream wedding without sacrificing anything. This may come at a cost, literally, since personal loans have higher interest rates than other loans. Therefore, it’s important to stay within your means and only take out loans you can afford to repay.
Reason #3: Difficulty in Borrowing from Family or Friends
While family and friends can be a great source for borrowing, not everyone has the luxury of borrowing from them. Borrowing from friends and family can be a touchy subject and may cause uncomfortable situations. Many people choose a personal loan to avoid any possible drama or awkwardness with friends and family.
If you’re considering taking out a personal loan for your wedding, it’s essential to consider the alternatives. While personal loans have many benefits, they are not the only option. For example, setting a strict budget for the wedding day can keep you from overspending. Alternative options also include saving up or using a credit card wisely. So, if you’re not comfortable with taking out a loan, you might want to consider such alternatives instead.
A wedding day marks a special occasion that can be a once-in-a-lifetime experience. If you don’t have enough capital saved up for your wedding day, taking out a personal loan is a quick and effective way to finance your dream wedding. With personal loans, you’ll have the funds available for the entire event without breaking the bank or borrowing from family and friends. However, it’s imperative, to be honest, and transparent about the amount you’re borrowing, especially when repaying the loan. The key takeaway when borrowing for a wedding is to be cautious, stay within your means, and seek professional financial advice, when needed.