A wedding celebration is usually associated with high costs, for example for the wedding dress, the suit, good music, the wedding photographer, the entertainment of the guests and partly the travel and accommodation costs are covered. It should be the most beautiful day in the life of the newlyweds and for this to succeed, a loan for a wedding reception is often unavoidable.
Who takes out the loan?
If the bride’s parents are still alive and follow the tradition, then they organize the ceremony and also take out the loan for the wedding reception. However, more and more couples bear the costs themselves because their parents themselves have a financial bottleneck and should not be burdened with the costs. In this case, the couple takes out the loan together. No shared apartment is required for this.
Where does the couple apply for the wedding ceremony loan?
There are some banks that couples who want to marry have already recognized as good customers. They therefore offer a cheap loan. Product names such as marriage, wedding or marriage credit are used here. This loan differs from classic consumer credit in that it specifies a purpose for which it is used and in that it has reduced interest rates. However, this does not mean that a particular bank’s special wedding loan is definitely the cheapest loan offer.
Therefore, it should not be ruled out that a loan from another bank that is not discounted could still be cheaper. At the request of the couple, many banks offer the possibility of free special repayments. This makes sense for a loan for the wedding celebration, because almost all couples receive a larger amount of monetary gifts. If this money is not needed for a honeymoon or important purchases, it can be used for a partial repayment of the wedding loan.
Personal loan as an alternative
Another option is a personal loan, which is provided by the family or friends. The advantage is that this loan is usually granted without interest and is not bureaucratic. A wedding loan can also be taken out on the Internet via numerous platforms for private loan brokers. The private lenders base their lending on the reason for the loan application and they usually like to support an upcoming wedding.
In any case, the bride and groom should take care of a loan for the wedding party in good time so that they can compare the providers and their conditions thoroughly and that they are not ultimately dependent on an instant loan with high interest rates.