When planning a wedding, you know that costs may quickly add up. Learn how wedding loans may help you reduce your out-of-pocket expenses.
As a wedding, few life occasions need such a significant monetary expenditure all at once. From the dinner to the honeymoon, many couples are willing to splurge to have the wedding of their dreams. However, the fact is that this might strain their budget, especially at a time when other significant expenses like as down payments and renovations may be spent.
This is where wedding loans might come in handy. These, often known as personal loans, might help you get by when you need to make a significant purchase.Here’s a look at wedding loans and how they might help you make your big day a reality.
What is a Wedding Loan?
Couples used to take out personal loans to pay for their weddings until recently. However, owing to the increased demand for marriage loans in recent years, moneylenders have developed new sorts of loans known as Wedding loans. Personal wedding use for loans.
They have a lower interest rate than private loans since they can only be used to fund a wedding and have a limited payback term. In most situations, the loan term ranges from 12 to 24 months, with a monthly interest rate of at least 1%.
How wedding loans work
What distinguishes wedding loans is that they provide a quick line of credit without the necessity for collateral. Banks and financial organizations need applicants to be employed, of a specific age, and earn a certain income to qualify for such a loan. These are often short-term loans repaid in installments over a certain period.
A copy of your NRIC, your IRAS Notice of Assessment, your CPF statement, your last several months’ pay stubs, and documentation confirming your billing address is needed for the application.
Most banks accept applications online, and some get applications via mobile apps. You may apply for financial institutions online or in person at one of their branches.
What Are The Benefits Of Applying For A Wedding Loan?
In Singapore, obtaining a wedding loan has become simple.The wedding loan Singapore industry thrives as many couples look for cost-effective financing solutions. It allows young couples to enjoy the wedding of their dreams.As a result, the island’s banks and financial institutions are competing with low-interest wedding loans.
Some couples prefer to save their own money, rely on family members for assistance, or make do with less expensive choices. A wedding loan offers various benefits in this regard:
- You may have the wedding of your dreams without making any sacrifices. You can hire a 5-star wedding location in Singapore or arrange unusual entertainment for your guests. There are no emotional ties involved. There is no guilt or responsibility. When you ask your family for aid, you must consider their circumstances and desires. On the other hand, a wedding loan provides you with complete control.
- You’re receiving your money all at once. Your family may be unable to offer you the total amount immediately. As a result, you’d have to delay your purchases and risk losing out on huge offers. A flat amount, on the other hand, simplifies all of the planning and hiring, saving you time and money.
- You will save money. A wedding loan helps you determine your budget so you know precisely how much you can spend. As a consequence, you will not get indebted beyond your means. Moreover, you will be able to shortlist your venues and providers more quickly.
10 Best Wedding Loans Singapore:
Because of how quickly and easily we could get our hands on money, DBS Cashline caught our interest. You may not only withdraw cash from any DBS/POSB ATM on the island, but you can also write checks from your Cashline account or make an online transfer.
Don’t stress about not having enough money to pay for your wedding dress or decorations; instead, have DBS Cashline automatically add that amount to your linked savings or checking account.
United Overseas Bank (UOB) Personal Loan
With a minimum borrowing of S$1,000, the interest rate for UOB Personal Loan may be as low as 4.25% per year. Terms become even more appealing if you are a UOB CashPlus member since you may pick between flexible or fixed repayments and obtain same-day loan approval.
Oversea-China Bank Corporation (OCBC) Limited EasiCredit
OCBC’s EasiCredit plan is ideal for customers who want cash loans regularly. With flexible repayments, you only pay a minimum monthly amount of as little as 3%. You may return your loan anytime you choose.
If you make at least S$30,000 annually, you may borrow up to four times your monthly salary. You may access cash in only 3 minutes once your loan is authorized, which is very quick and efficient.
Oversea-China Bank Corporation (OCBC) Limited Extra Cash
Suppose you have an annual salary of S$20,000 or more. In that case, you will be eligible for the Extra Cash program, which is appropriate for people who want to take out a one-time loan. A flat interest rate of 15% per year applies to borrowers with annual incomes of S$30,000 and above.
A rate of 22% per year applies to borrowers with yearly revenues of S$20,000 to S$29,999. You can properly manage your money with set monthly repayments instead of EasiCredit.
Citibank Ready Credit
You’d be qualified for Citibank’s loan plan if you had a minimum yearly salary of S$20,000. Once your application is accepted, you will get a special welcome offer of a low-interest rate of 4.83% per year with a minimum loan amount of S$5,000 and a loan term of 36 months.
Standard Chartered Bank CashOne
Standard Chartered Bank is running an intriguing campaign in which you may earn 1.2% CashBack on your loan and $199 off your first-year charge. Suppose you currently have a Platinum credit card and an annual salary of at least S$30,000. In that case, you may borrow up to four times your monthly income with the CashOne personal loan and get a five-year annual fee waiver. Interest rates are 6.88% each year, with customizable monthly payments.
HSBC Personal Loan
HSBC claims to provide one of Singapore’s lowest interest rates, with an annual interest rate of 5.6% with a minimum loan amount of S$10,000, or 3.8%, for current HSBC Premier clients. As long as you earn at least S$30,000 per year, you may quickly apply online, and the processing time is just one hour, assuring cash the following day. As a salaried client, you will be able to receive a loan for up to 7 years. You must borrow a minimum of S$5,000.
POSB Loan Assist
One attractive feature of POSB Loan Assist is that its interest rate is on a Flat Rate Basis, which means that the interest rate and monthly payment you must pay to stay constant during the length of your loan, regardless of interest rate swings. Enjoy interest rates as low as 5.18% per year and loan terms ranging from 3 to 5 years with a minimum borrowing amount of S$25,000. You will be able to apply if you have an annual income of S$20,000 or more and are not a DBS Cashline client.
Maybank Secured Overdraft
Maybank’s Secured Overdraft is ideal for making cash accessible whenever needed. The difference is that your eligibility is determined by the value of the assets you pledge rather than your income. Interest rates fluctuate and are determined by Maybank’s Prime Rate, which is now 5.25% per year.
Bank of China (BOC) MoneyPlus Fund Transfer
You may transfer money from your BOC MoneyPlus account to any existing credit card, credit line, savings, or bank’s current performance, which is a quick and wiser method to acquire access to more cash. To apply as a MoneyPlus Fund Transfer client, you must have an annual income of S$30,000 and a minimum transfer fund of S$1000. If you hold the loan for 3 to 6 months, you will obtain a 0% interest rate!
Factors To Consider When Applying For Wedding Loan:
Needless to add, the wedding in Singapore might cost you your body parts. The process requires a significant expenditure, from picking on a location to the ultimate ritual of traveling on a honeymoon. In the case of a Malay Chinese wedding, the cost might exceed $70,000 or more.
As a result, you’ll undoubtedly need a marriage loan. However, many couples are ignorant of the circumstances behind large-budget marriage loans. Before applying for a loan, you should evaluate your expenses and understand the loan terms.
Some of the considerations for obtaining a personal loan for marriage are as follows:
Tailor-Made Wedding Loan Packages
A standard personal loan and a marital loan must be understood. A personal loan in Singapore has no such restriction in terms of usage. However, a wedding loan has the unique limits of a marital purpose.
This is not something that your typical lender will give. For this, the couple must hunt for a private loan or a moneylender. They will offer an assistant to help you with the loan application process.
Flexible Marriage Loan Packages
Admit it, each marriage is unique, with its demands and expectations. Moreover, the financial requirements vary from pair to couple. As a result, flexible personal loan singapore choices and wedding financing packages have variable repayment terms.
The loan structure is designed in such a manner that it considers your yearly earnings and monthly expenses. Thanks to the adaptability of the loan terms, the burden of repaying a wedding loan is lightened for the happy couple. You don’t even have to start repaying the loan right away after your fantasy honeymoon.
Protecting Your Assets
Many Singapore couples are frantically pushing themselves to take the best personal loans, particularly secured debts, to meet their acute financial necessities throughout the marriage. A fast loan is a risky option since you may end up losing your possessions.
Your house, vehicle, or gold are examples of financial assets. As a result, marriage loans must consider to secure your lifelong assets. After all, none of us wants to begin a new adventure by losing our valuable possessions.
Easy Application And Approval
Indeed, you press for time throughout your marriage. Your typical personal loan will keep you waiting for days before the loan approv. Wedding loans Singapore provide a quick and simple application and approval procedure. Online, you may find simpler application forms.
Moreover, the loan money transmits as soon as you obtain the application confirmation. However, before you begin the procedure, you must contact their office and provide them with the necessary official documentation. Once completed, your loan will approve in no time.
Affordable Interest Rates
In Singapore, a few licensed moneylenders compete with one another to acquire more loan consumers. To keep their businesses competitive, they often establish low-interest rates for borrowers.
This, in turn, plays a role for the couple who may be seeking a low-interest personal loan. However, your interest rate will be lower in the event of marital debts than in the case of a personal loan. As a result, you may explore cheap repayment choices here.
A wedding loan might help you have everything ideal for your wedding without breaking the bank. These wedding loans might provide you with a much-needed cash boost while also giving you some breathing space in terms of payment.
Read more: Apply for Instant Personal Loan In Hyderabad