Do you have a big wedding coming up in the family but are not ready with liquid funds to meet all the expenses? The expenses of a wedding would be a lot! Even if you have planned and saved for the event, there will always be some expense that you would have overlooked. This is the expense that is likely to let your budgeting go haywire. But thankfully, many banks are ready and waiting to finance the big event for you. You will of course need to look at the documentation required and the rate of interest charged before you can decide on the details of the marriage loan
You can actually consider taking a personal loan. When you take a personal loan, you need not reveal the purpose of the loan.It can remain private and the money can be used for any purpose. Also, you need not deposit a collateral guarantee for the loan;however, this very fact makes the scheme stricter in terms of the eligibility and the policies ensuring its repayment on time.
Marriage Loans – Features and Benefits
These are very similar to personal loans where you do not require a guarantor and can make the repayment with EMIs. The quick loan approval allows you to get the money quickly and variable tenure for repayment. The loan plan can be customized as per your needs. It is easier to get approval for a marriage loan than a personal loan
Terms and Conditions
Taking a marriage loan is more beneficial as there are a few advantages exclusive to it. The interest rates applicable are not constant, but looking at all the banks, they seem to be available in the range of 11-25% on an amount starting from INR 50,000 to 30 lakhs. The rate depends on the eligibility of the applicant. The tenure of repayment varies from 1 year to 5 years. In some cases, it is usually extended by a year.
To apply, you need to submit the duly filled in form, the required documents and a processing fee that could vary from 1% to 2.5% of the loan amount. The tenure is also to be fixed at the time of application. If you foreclose the loan, then you need to pay a penalty charge depending on how quickly you are closing it and the outstanding balance in your loan account.
These criteria decide the loan amount you can avail as a marriage loan. To be eligible for this, you should be minimum of 21 years of age and maximum of 58 years if you are salaried and 65 years if you are self-employed. You should have a steady source of income with a minimum monthly income of INR 15,000 as the norm. A credit score of above 700 is required for approval.
The documentation required includes an age and identity proof, an address proof and proof of financial stability.
The process is as simple as that to get a marriage loan. It’s just that you should have a good credit score to make things even easier.