Should I Get A Loan To Pay For My Wedding?

 

There are just a few things in life that many plan in their dreams from a young age. A satisfying job. A lovely home. And of course, one’s wedding day.

If you’re one of those people who have always dreamed of an extravagant affair or simply want to make sure your special day is everything you hoped it would be without breaking the bank, then the costs may be a deal-breaker at times.

In such cases, a wedding loan from reliable and licensed lenders in Singapore may be a viable option.

So if you’re wondering “should I get a loan to pay for my wedding?”, read on to learn why you should apply for a wedding loan in Singapore and how to go about doing it.

Should I Get A Loan To Pay For My Wedding?

A wedding loan is simply a personal loan that can be used to cover the costs of your big day. 

You can get a wedding loan if you don’t have enough funds to cover most of the costs related to the big day. 

Many couples take out wedding loans to pay for everything from the venue and catering to the flowers and photography, or even just to have a little extra spending money on the day itself.

Most marriage loans Singapore lenders offer are unsecured loans. 

This type of loan does not require collateral, which means that you don’t have to put up any of your possessions as security against the loan.

How Do Wedding Loans Work?

Wedding loans work in the same way as any other personal loan, in that, you borrow a lump sum of money from a lender and then agree to repay it, plus interest, over an agreed period of time.

The amount you can borrow, as well as the repayment terms and interest rate, will all be determined by the lender based on its criteria.

Some lenders may require you to have a good credit history in order to be eligible for a loan, while others may not. 

As such, it’s always best to compare a few different options before settling on a particular loan.

When you want to get a wedding loan, you must consider your other existing debts as well. In Singapore, the Total Debt Servicing Ratio (TDSR), which refers to the percentage of your income that goes toward paying your debts, is capped at 55%. 

This limits the amount you can spend on your debts every month.

Costs That Wedding Loans Can Cover

In general, a wedding is a costly event – unless you’re planning a simple courthouse ceremony.

However, with a wedding loan, you can cover almost all the costs associated with your wedding day, including:

  • Wedding venue
  • Catering services
  • Flowers and decorations
  • Wedding dress and bridal accessories
  • Groom’s outfit and accessories
  • Wedding rings and engagement rings
  • Invitations and thank you cards
  • Wedding cake
  • Photography and videography services
  • Gifts for the wedding party
  • Honeymoon expenses
  • Hiring a wedding planner

How To Do A Breakdown Of Wedding Costs

When you apply for a Singapore wedding loan, the first thing most lenders will ask for is a breakdown of your estimated wedding costs.

This is so they can see exactly how much you need to borrow and what the money will be spent on.

To get an accurate picture of your overall wedding costs, it’s a good idea to start by creating a budget. 

In Singapore, wedding budget ideas can help you look for ways to cut costs where possible.

Here is a sample breakdown of wedding costs in Singapore:

Wedding Reception

The reception costs depend on various things like the number of guests, the time of day, the location, etc.

In Singapore, premium wedding venue rentals will be around $1,200 per table of 10. When you choose a top-tier hotel, this figure can go up to $2,500.

The cost depends on when exactly you hold the reception day. If you want to get married on a Saturday, expect to pay more as opposed to a weekday.

Wedding Dresses And Accessories

The bridal gowns and suits are one other major addition to the overall wedding cost in Singapore. After all, the bride and the groom must look their best on the big day.

On average, a wedding dress in Singapore costs about $2,000. The price can go up to $10,000 or even more for high-end labels or designer dresses.

The cost of the groom’s outfit will be around 10% to 15% of the total amount spent on the bride.

Engagement And Wedding Rings

People spend a lot of money on their engagement and wedding rings. The reason is that they view these rings as a symbol of their eternal love.

The cost of an engagement ring in Singapore can start from $1,000 and go up to $30,000.

The average cost of a wedding band is about $500 but the price goes up when you add diamonds or other precious stones.

Taking a wedding loan can help couples save money on their rings while still getting the quality and design that they want.

Wedding Photography And Videography

Hiring a professional photographer or videographer is a must for most couples. This is because the bride and the groom want to capture the best moments of their big day.

The cost of wedding photography and videography services in Singapore depends on various factors. 

These include the number of hours, the number of photographers or videographers, the type of package, etc.

On average, you can expect to pay $1,500 to $3,000 for these services.

Gifts For The Wedding Party

Another big expense that you need to consider is the cost of gifts for the wedding party. This includes the bridesmaids, groomsmen, flower girls, and ring bearers.

If you are having a traditional Chinese wedding, then Guo Da Li may also be a part of your wedding. 

Guo Da Li is a ritual that is usually performed a few days before the wedding where gifts are exchanged between the families of the bride and groom.

The cost of gifts for the wedding reception can vary depending on your budget. Some couples even spend a few hundred dollars on each person.

The Marriage

All these events come down to one thing – the marriage itself. The cost of a marriage certificate in Singapore is $30.

If you are planning to have a religious ceremony, then there may be additional costs involved. For example, if you are getting married in a church, you may need to pay a donation fee.

The officiant’s fee will also need to be considered. This is the fee that you will pay to the person who is officiating your marriage.

In most cases, the officiant’s fee is already included in the package offered by the wedding venue.

Honeymoon

The last item on our list of wedding expenses is the honeymoon. This is usually one of the most anticipated parts of the wedding for couples.

The cost of the honeymoon will depend on various factors such as the destination, the duration of the trip, the mode of transportation, etc.

On average, couples can expect to spend about $5,000 on their honeymoon.

As you can see, there are many expenses that you need to consider when planning your wedding.

This is why it is not uncommon for couples to take out a loan to finance their big day. A wedding loan can help you cover all the costs associated with your wedding.

Benefits Of A Wedding Loan 

The culture of taking the wedding loan Singapore lenders offer is becoming increasingly popular. Here are some of the benefits that you can enjoy by taking out a loan for your wedding:

  • You can have your dream wedding. With a loan, you can finance your dream wedding without having to worry about the cost. You can have the wedding that you have always wanted without breaking the bank.
  • You can save money. Some couples think that they need to spend a lot of money on their wedding to make it special. However, this is not true. You can have a beautiful and unique wedding without spending a fortune. A loan can help you save money by allowing you to spread the costs of the wedding over a period of time. This means that you will not have to pay for everything all at once.
  • You don’t have to ask your relatives for money. Some couples are not comfortable with asking their parents or other relatives for money to finance their wedding. If this is the case, then a wedding loan can be a great option. You can finance your entire wedding without having to ask anyone for money.
  • You can get the money that you need quickly. Wedding loans are usually easy to apply for and the money can be given to you quickly, especially if you choose a licensed money lender like Katong Credit. This means that you will not have to wait weeks or months to get the money that you need.

Where To Get A Wedding Loan In Singapore

Singapore wedding loans can be a great way to finance your big day. But where to get a wedding loan in Singapore is often the big question on couples’ minds.

There are various places where you can get a loan for a wedding and each differs in terms, amount offered, eligibility criteria, etc.

Some of the options to consider include:

Katong Credit

A reputable and trusted licensed money lender like Katong Credit can be a viable option if you want a wedding loan in Singapore quickly. 

The licensed money lender offers wedding loans that are unsecured personal loans at competitive rates and with speedy approval.

It takes three hours to approve your application and one day to disburse the money. 

Unlike credit card loans that can tempt you to overspend, its unsecured wedding loan comes with a fixed amount that you can use to finance your big day. .

DBS

DBS Cashline can be a great option for couples to consider when it comes to taking a loan for your wedding. 

This is an unsecured line of credit that comes with flexible tenure of up to five years.

This means that you can repay the loan over a period of time that suits your financial needs and capabilities.

OCBC EasiCredit 

OCBC offers personal loans and credit lines that can be used for wedding expenses. Their EasiCredit scheme can be a flexible option for low-income couples looking for a wedding loan.

This personal line of credit comes with interest rates of around 20.9-29.8% per annum and an annual $120 fee that is waived until the applicant turns 29 years old.

POSB Loan Assist 

If a normal wedding involving medium-range costs is your cup of tea, then POSB Loan Assist could be a good choice. 

The monthly installments for this personal loan remain the same as flat rates throughout the tenure and come with an affordable interest rate starting at 5.18% per annum. 

Get A Loan For A Stress-free Wedding 

A wedding is a once-in-a-lifetime event and it is understandable that you want everything to be perfect. 

However, the costs associated with a wedding can be very high. 

Getting a wedding loan from Singapore lenders at the right cost and from a trusted source can be a great way to finance your dream wedding.

Be sure to shop around and compare the different options before you come to a decision. 

Make sure that you understand the terms and conditions of the loan and that you are comfortable with them before signing on the dotted line.

Have questions?

Get help from our friendly loan officers at Katong Credit or get started by applying for a loan now.

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