Wedding Loans & Financing Options
So you’ve finally gotten your partner to say yes to you after you agonized over making the right proposal. A yes is a wonderful thing, but now you have to make sure that you provide a fairy-tale wedding event. You want this day to be one that comes right out of a storybook. This is a day you want your family, friends and neighbors to remember it until the end of time. Fairy-tale weddings cost money, however, and that’s where you may fall short. This is where wedding loans can help.
The average cost of a wedding in the United States is over $32,000. That’s a year’s salary for some people, and that’s not even for a fairy-tale celebration. There’s no need to fret, though. First of all, you can make some smart decisions that will get you discounts on your venue, catering, lodging and honeymoon events. All you have to do is qualify for a loan. The following are some online personal loan types that can help you to achieve your dreams:
What is a Peer-to-Peer Lending Option?
A Peer-to-peer lending site is a site that brings together investors and people who need to borrow money to achieve a goal. Most of these sites have wedding loans via an online personal loan.
Unlike traditional sites, peer-to-peer sites are comprised of people who want to fund loans for the borrowers. These investors may have received a loan when they wanted to do something special in the past. They may be people who fell upon some good fortune and wanted to help fund someone who needs assistance.
But most just want to make a small profit by lending out some money for a short while. This is because money in savings pays so little interest. These individual investors agree to provide money to borrowers for a set interest rate in return. It is a win win for the investor funding the loan and the borrower needing the money.
Lending Club is the most tenured P2P lending site. It started offering its services to the world in 2007 and has successfully helped members fund more than $392 million worth of projects over their modern lending platform.
Prosper and Upstart are two similar sites that are legitimate but not quite as successful as Lending Club. The LC peer-to-peer lending site allows its borrowers to apply for up to $40,000. Therefore, you may be able to get all the money that you need for your wedding in one place.
How Do You Get Started?
You can get started on that site in three easy steps. The first thing that you’ll need to do is visit LendingClub.com to find out your rate. Your interest rate will have a lot to do with your credit score, so you have to answer the questions about your credit score accurately. If you decide to proceed with the qualifying process, you will not have to worry about it affecting your credit score. The system will only make soft inquiries if any.
What Happens Next?
When you are done with the application, you will receive rate quotes that you can review. You’ll have the opportunity to examine the offers that are available to you and decide whether you want to accept them.
After you accept your loan will be funded. The money will then go directly into your bank account. You will then repay the funds at a fixed amount each month, and those funds will conveniently come directly from your bank account. The other lending sites may have different qualifying and verification processes.
Personal Loan Networks
To acquire the type of money that you need to have a successful wedding, you could also go the route of personal loan networks. A lending network is a site that works with a myriad of lending companies to get you the funds that you need.
Instead of you asking one company at a time for wedding funds, you essentially ask hundreds of companies for the funds at the same time using just one easy form. Personalloans.com is an example of one of the top personal loan networks. Lending Tree and Credible are other good examples of similar companies.
What Loan Options are Available?
Using a lending network, you can borrow up to $35,000. That should be enough to provide you with an excellent wedding for you and your loved one. The loans that you can apply for here are extremely versatile. You can get a personal loans from 24 – 72 months.
It all depends on what your needs are and what your situation is at the time of the loan. The APR or annual percentage rate is another area where you can have a range to choose from.
Your APR may be as low as 5 percent, or it could be more than 35 percent. The higher APR may be assigned to you if you have very poor credit. Comparing rates using multiple lenders can help assist you in getting the lowest rate possible.
How Does It Work?
The entire process starts with you determining your credit status. You need to let the company know where you think you stand in the credit world. If you believe that your credit is poor, then you will need to select that so that the application process will be accurate.
Once you notate your assumed credit score, the page will shift to a full-blown application where you will need to enter information such as your annual income, residence, identity verifying information and the like. The verification and approval process will begin when you submit your application.
Personalloans.com is connected to a large database of lenders, so the range of personal loans available to all credit types is good.
You’ll start receiving offers as soon as they come in, and then you can choose the one that meets your needs the closest. More than 500,000 people have used PersonalLoans.com to get their funding. The site has many positive reviews, and it is an accredited firm.
Credible is also a very popular choice in getting matched to a personal loan. They also have a lot of tools and educational information on their site.
The Botton Line When it Comes to Wedding Loans
Should you finance your dream wedding with a personal loan?
When it comes to wedding loans and financing your dream day, it all comes down to how much you personally are willing to commit. This is an expensive event even for an average size wedding.
Taking out a large loan for a car or any major purchase has to be thought through carefully. But, if a wedding is a lifetime event for you that is worth the money than a personal loan can be a good option.
It allows you to get the money in the bank, so you can put down the deposits you need and plan all the events at one time. You can even be paying monthly payments on the loan, while in the process of planning the wedding.
If you have savings in the bank it is always wise to utilize this money first rather than taking out personal loans. But, if you are short on cash, applying online for a personal loan can be a solution.
Make sure you can afford the payment and understand the term you will be paying on the loan. Also, make sure you understand the origination fees if any and the interest rate you will be paying on.
Only you can decide if an online personal loan is right for you and your future bride. At least you know it is an option that more couples are using to finance their wedding planning.