Wedding Loan

A wedding, as you are finding out, is expensive. Do you need a wedding loan? This is something about which you should think long and hard.

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Financing a Wedding

The times when the bride's parents are financing a wedding entirely have in most cases gone away. The bride and groom usually have to pay some, if not all the expenses themselves.

No one recommends that you go into debt by using loans for a wedding. However, most couples have to either supplement any savings they have set aside for the wedding, if they have any savings at all.

Your Wedding, Unique, Basic or Extravagant

The first thing to do is for you and your future spouse to get together and decide what kind of wedding you want and where you are willing to cut corners on the wedding, personal preferences may have to be modified.

Take Control with a Wedding Budget

The next step is to set a wedding budget. Make it realistic so you won't be disappointed. You can have what you want for your wedding, simple as that my sound. Here is a wedding calculator to help you do this:

Get Competitive Pricing the Easy Way

Now that you have a good idea what the costs will be, fine tune it by having a number of wedding vendors quote you on their services and pricing.

What options do you have in Financing a Wedding?

When you are looking at your wedding financing options, look first at whether or not you can you pay for it, or part of it, as you go. When an invoice or deposit is due you pay for it then. This is where using the wedding calculator to get an idea of what the wedding payment might be.

This is a very good idea if your wedding is months or even a year or more away.

Unfortunately, not many are in a position to be able to do this.

Bridal Loans or Credit card?

After you settle on what you want and have an idea of the costs, its time to decide by what means you are going to pay your wedding bills.

Try not to get caught up in the wedding hype you will see in all the wedding magazines and ads, they know that when it comes to a wedding, you can get very emotional and they use this to oversell you. This can put you way off budget.

If you are going to use credit, decide what type best suites your needs.

If the debt is going to be large it's time to consider a wedding loan. The interest on an unsecured loan (a wedding loan is usually unsecured) will be much less than that of a credit card. Let's say 10% to12% for a loan versus 21% or more using a credit card.

Negotiate as if this was a Wedding Mortgage

Here is another good reason to look at getting a wedding loan. If you have done your homework by using the wedding worksheet and know what your approximate costs are going to be, you can secure a loan for that amount or a little more for unexpected expenses and put yourself in a great bargaining position with the wedding vendors.

When they ask you for a deposit of 20% for example, because you have a wedding loan, you can offer them 25% or 30%, if they will lower their price or throw in something extra. Because you know how much money you have to spend, your negotiating power is increased.

The Donts in Wedding Credit Loans

Some advice, if you have a 401k retirement plan you will be told you can borrow against it, bad idea. Get the wedding loan and pay it back as soon as you can. Remember, it will more than likely be an unsecured loan; if you get loans secured by your 401k's remember they are secured by your retirement funds and can also cause some tax consequences if not handled properly.

Think it over carefully and you'll make the right choice. Have a wonderful wedding.

Protect your Wedding Investment

Whether or not you get a wedding loan you should consider wedding insurance. You are getting ready to spend a lot of money, unforeseen things happen, protect yourself.