The big fat Indian weddings are probably the most extravagant social events that take place on planet earth. No wonder the Indian wedding industry is a US$50 billion industry, where approximately 13 million people get married every year. Be it celebrity weddings or just the average Joe getting married; the budget never seems to be a constraint for Indian weddings. In case all of the thought of wedding budgets sounds too overwhelming to you, then worry no more, as a marriage loan can make sure that your or your relative’s marriage album is as prodigal as you have always wanted it to be.
Choose the Most Appropriate Type of Loan
A wedding loan can be of two types:
- Personal Loan
- Loan Against Property
A personal loan is an unsecured loan that does not require you to keep any of your assets as a collateral guarantee.
A loan against property, on the other hand, is a secured loan, where you have to mortgage your residential or commercial property to avail of the loan.
Unlike in a personal loan, if you are unable to repay the principal and interest of a loan against property on time, the lender might liquidate your mortgaged immovable asset and recover their dues.
As a loan against property is secured, the interest rates are slightly lower than personal loan interest rates. With a reputed NBFC, the lowest interest rates you can get for a personal loan and a loan against property are 12.99% and 9%, respectively.
Hence, before you think about applying for a marriage loan, consider both types of loans, and choose the one that is more convenient and simpler. Generally, most borrowers prefer a personal loan for the marriage as they get easily approved and require minimal documentation.
Calculate the Marriage Expenditure and Finalise the Loan Amount
The expenses you may incur in a wedding can be divided into various subheads like trousseau, decoration, venue, transportation, catering, hospitality, honeymoon, and miscellaneous expenses.
Before applying for a marriage loan, consider how much you have to spend under each subhead, and calculate the total. Once you have a near-perfect estimate of the money you have to spend; the next step is to approach a reputed lender who is ready to offer you a personal loan of up to INR 25 lakh at attractive interest rates starting from 12.99%.
Check the Eligibility Criteria
Personal loan eligibility criteria are fairly straightforward. To be eligible to apply for a marriage loan, you need to fulfill the following criteria:
- Your age should be between 21 and 60.
- If salaried, you should have professional experience of over one year, including six months of service in the present organization. Your salary should be above INR 20000 if you live anywhere other than Mumbai or Delhi. For residents of Mumbai or Delhi, the minimum amount is INR 25000.
- If self-employed, your business should be at least two years old and your post-tax profit should be above the threshold limit stipulated by the lender.
- You need to have a CIBIL score of 750 and above. However, the closest you are to a score of 900, the better personal loan interest rates you can receive.
Choose the Lender Wisely
Gone are the days when you had to visit multiple lenders, wait for your turn to meet the representative and know the interest rates, and come back only to find that the interest rate has changed. Worry no more, as the best lender offers you what you see on their website, no strings attached.
Moreover, you get instant online approval of marriage loans, online customized account access, industry-best interest rates, and a loan amount of up to INR 25 lakh.
As the adage goes, ‘Marriages are made in heaven, a marriage loan ensures that money never acts as an impediment.
Now that you are equipped with all the information you need, you can go make your dream wedding a reality!