Five benefits of getting a Personal Loan for Marriage

by Kritika Jose I'm a financial advisor with an experience of more

Weddings are a big deal in our country. It’s not just for the bride and groom but the entire families, who come together and celebrate their union. As a result, the big fat Indian wedding is an expensive affair. Families save for years just so they can have a lavish wedding for their children. But a lot of times it’s not enough. It is then that parents turn to relatives, to borrow money for their child’s wedding. Wedding loans are sort of a tradition in India. And with the wedding season in full swing, perhaps now is the right time to consider taking a personal loan for marriage.

Borrowing from family can be a little risky, as you have different relation with your family members that you do with your banker. Your bank will offer you a set personal loan interest rate, where you family members may have different expectations. Taking a marriage loan from bank is always better than taking one from your family, because the bank will do all the formalities and all your liabilities in terms of this loan with be put down on paper. Whereas, when you take a marriage loan from your family you may end up ruining your family relations.

Here are a few other benefits of taking a personal loan for marriage, rather than borrowing from family.

1. Simple: Personal loans are the simplest form of loans. You can get a wedding loan approved easily without having to present any proof of wedding and the money you get can also be used for any expenses that may arise. They’re also official unlike loans taken from family or friends. A personal loan taken from a bank is all on paper and there is no room for discrepancy there.

2. No collateral: When you take a personal loan you don’t need to keep any of your assets as a collateral.

3. Zero Hassle Loans: You require minimal documents to get personal loans approved. This ads to the simplicity of this personal loan system.

4. Attractive interest rates: Banks are offering more and more attractive personal loan interest rates. These loans can be used from anything from tuition fees, new car payments, home renovations or even for travel plans.

5. Tenure: A wedding loan or personal loan allows you a tenure of at least five years. You can select a tenure that best fits your repayment abilities and pay off the loan gradually through equated monthly installments (EMIs).