Planning for a Grand Wedding? Secure it with Wedding Loan
Wedding market, the only recession-proof sector in the Indian economy, continues to grow rapidly at the annual rate of 25-30%. While the country hosts about 10-12 million weddings each year, the current size of this industry is about $50 billion and presents multiple opportunities for investors.
Studies show that the average expenses of an Indian wedding take up about 30% of an individual’s life’s savings. Consecutively, more individuals now look for wedding loans from financial institutions.
Easy Financing With Wedding Loans
These advances provide substantial funding to finance the diverse expenses involved in a marriage. Borrowers can avail it to meet the financial requirements of destination weddings, accommodation for a honeymoon trip abroad, etc.
There are numerous shorter expenses related to weddings as well which require a lesser pool of funds. However, for larger expenses, only secured wedding loans can provide the necessary finances.
Lenders like Bajaj Finserv offer Loan for Wedding which comes with numerous borrower-friendly features, as well as easy-to-meet eligibility criteria and documentation requirements.
Borrowers can opt for such a convenient application process to avail financial assistance following a detailed idea about the beneficial aspects of a marriage loan –
- High-value Loan Amount
Eligible borrowers can obtain a high-value credit that is decided based on the property to be mortgaged. Lenders evaluate the location of the property as well as its current market price. Following this, the lender decides the Loan to Value ratio or LTV they can offer as per the financial credibility of the applicant. Loan to Value is the percentage of the property value sanctioned as the loan amount. Lenders may sanction loan amounts as high as Rs. 1 Crore for salaried borrowers and Rs. 3.5 Crore for self-employed individuals. Thus, borrowers can now go for unbeatable destination wedding venues without breaking in their savings.
- Required Credit Score
Secured advances like loan against property require the borrower to mortgage a property, the market value of which decides the loan amount along with the eligibility criteria too. Thus, lenders already have the assurance of recovering the outstanding loan amount by liquidating the property in case of a default. Hence, they are more lenient with the minimum eligible CIBIL score required to avail a loan for a wedding.
- Affordable EMIs
A loan against property for the wedding comes with competitive rates of interest and affordable EMIs. This makes the repayment process convenient for the borrower in comparison to unsecured advances. A long-term loan with such low EMIs ensures that borrowers repay their loan without any unnecessary strain on their savings. Hence, it is imperative that borrowers look into the rate of interest offered by a lender, calculate the probable EMI, and compute their monthly financial obligations before availing a wedding loan.
- Flexible Repayment Tenor
Secured loans for wedding come with long tenors. Loan tenors are inversely proportional to the EMIs with the same interest rates. Hence, reputed financial institutions such as Bajaj Finserv offers tenor options ranging from 2 to 18 or 20 years. Borrowers can opt for an extended tenor with lower EMIs or a shorter tenor with higher EMIs – as per their convenience.
- Easy-to-meet Eligibility Criteria
Applying for a marriage loan requires borrowers to meet the following eligibility criteria –
Self-Employed – Applicant should be an Indian citizen, residing in any of the cities specified by the lender. He/she should be between 25 and 70 years of age with a regular source of income.
Salaried – The applicant must be employed either in an MNC, or any private or public sectors and be between 33 and 58 years of age. He/she should be a resident of India.
- Minimum Documents Required
Keeping in mind the convenience of the potential borrowers, reputed lenders keep the application process for wedding loan easy and hence require minimum documentation –
Self-Employed – KYC documents (PAN Card, Aadhaar Card), address proof, bank account statement of the last 6 months, and copy of the papers of the mortgaged property.
Salaried – All of the above (salaried individuals need to furnish their bank account statements of the previous 3 months only), latest salary slip, and IT returns.
An in-depth idea on everything you need to know about availing a loan for your wedding will help you compare between lenders and make the most suitable choice as per your requirements. Also, choose the best package for bridal makeup and finance your destination wedding cost with financial advance. Refer to lenders who provide you with additional benefits such as easy balance transfer facility and online account management.