Break Free Home Loans are a leading Melbourne mortgage broker, with over 20 years of industry experience. We provide lending solutions and advice tailored to your needs. We work closely with clients as trusted advisors and are accessible to clients when needed.
Our brokers work hard at understanding our client’s unique circumstances and helping them overcome common home loan challenges. Whether you’re a first home buyer or an experienced investor, we’ll help you find the best home loan for your situation. Whether you’re self-employed and have trouble proving your income or you’re a contractor or casual worker, we offer solutions for all types of clients’ income sources.
Looking to finance your wedding in Melbourne? Whether you’re looking for a low-cost wedding loan or a personal loan for wedding expenses, there are plenty of options available to help make your wedding dreams come true. If you need cheap wedding loans, talk to our brokers at Break Free Home Loans. We can help you find the right lender for your needs.
What Is A Wedding Loan
How They Work
| Pros | Cons |
|---|---|
| Higher budget You can fund the dream wedding you want with a loan. |
Pay interest and fees Personal wedding loans will end up costing more in the long term as taking out finance will always incur interests and other fees. |
| Easier repayments Financing your wedding with a loan allows you to pay it off in small, manageable chunks rather than having to settle everything upfront. |
Risk of overspending Taking out personal loans for wedding expenses might tempt you to spend more than originally planned, leading you to use more than what you can afford. |
| Improve your credit You can improve your credit rating when you consistently meet your repayments on time and your chances of getting a mortgage loan in the future. |
Damage your credit If you are rejected from your wedding loan application, this will be documented on your credit file and may hinder future loan applications. Your credit will also take a dent if you fail to meet your loan repayments on time. |
What Can I Use Them For
Requirements To Qualify For The Loan
18+ Years Old
Permanent Resident Of Australia
Recent Credit History
Being Employed With Regular Income
How To Apply For Wedding Loans In Melbourne?
- Work out how much you need to borrow and what you can afford.
- Compare lenders and loan products. This includes their interest rates, fees, and eligibility criteria.
- Organise and prepare required documents to apply.
- Finalise and submit your application.
Documents You’ll Need
These are some supporting documents you need for your wedding loan application:
- Your ID
- Your wedding invitation or wedding contract
- Your last 3 months’ payslips or bank statements
- Your last 3 months’ tax returns (if self-employed)
The process of applying for a wedding loan is usually quick and easy, and some lenders even offer online applications. Once you’ve been approved for a wedding loan, the money can be deposited into your account within 24 hours.
How Much Can I Borrow?
How much can you realistically afford to repay? Can you afford the loan?
How much will the wedding cost?
What can you pay for with savings?
Borrowing money comes with interest. If you can pay with your savings or pooled finances from family and friends, you may be able to reduce costs. Paying for part of the wedding with your own money may work out better than taking out a loan. This decreases the amount you have to borrow and the amount of debt you’ll be in. It means lower repayments and less stress in the long term after your marriage.
Alternative Ways To Finance Your Wedding
Secured & Unsecured Loans
When it comes to a personal loan for wedding expenses, you can opt for either a secured or unsecured loan. A secured loan has lower interest rates and higher borrowing limits but needs an asset as collateral. An unsecured loan has a lower borrowing limit but does not need collateral. It charges more in interest. Both offer flexibility in the use of the loan, and you can choose between a variable or fixed rate. The loan is generally repaid between 1 to 7 years.
Credit Cards
A credit card may be an option to fund your wedding depending on how much your credit limit is. If it fits your upcoming expenses, you can possibly look into a 0% p.a. balance transfer or purchase card as a source of finance. Remember that interest rates will apply after the introductory period ends.
Bad Credit Loans
There are wedding loans for bad credit applicants. If your credit score is less than ideal, you may still be able to qualify for a secured personal loan, a guarantor wedding loan, no credit check wedding loans or a low documentation personal loan. These are all generally short to medium term personal loans with higher interest rates and fees, which you need to consider.
Credit Lines
Lines of credit give you funding on a continuing basis as opposed to a lump sum. It lets you borrow up to a certain amount, and as when you need it. You will only be charged interest on the borrowed amount and not your entire credit limit. While convenient, the interest rate on credit lines can be higher compared to a personal loan.
What Is A Joint Wedding Loan
Will I Pay More If I Have Bad Credit?
- Bad credit loans are likely to be more expensive than traditional loan options. This is because you are seen as a higher risk to a lender. They will charge you a higher rate (also known as personalized rates) compared to someone with a good credit score to compensate for your poor credit profile.
- Loans specifically tailored to bad credit applicants typically have a shorter loan term. Shorter repayment terms can reduce the amount you pay in interest, but they also mean higher repayment amounts in a much shorter period. Standard personal loans allow you to repay your loan in 1 to 7 years as opposed to bad credit personal loans that can have a repayment period as short as 16 days to 1 year. Some bad credit wedding loans, however, may allow repayment terms up to 2 to 3 years.
- May need security. You may be required to provide collateral such as home equity, a vehicle or an asset as security for your loan. This mitigates the risk posed to the lenders as the asset can be reclaimed by them should you fail to repay the loan.
How Do We Rate Personal Wedding Loans?
Amount Of The Loan
Loan’s Term
Affordability
Can you afford the loan? After you’ve calculated the cost of your loan, consider whether you can comfortably afford it with your budget and lifestyle expenses. You need to be confident you can meet your loan repayments on time.
Repayment Period
Have Any Questions? Talk To Us!
Compare Wedding Loans In Melbourne
Frequently Asked Questions
How Can I Get A Wedding Loan In Melbourne?
What Are The Wedding Loans Requirements?
What Is A Joint Wedding Loan?
What are the benefits of a joint wedding loan?
There are several benefits to taking out a joint wedding loan:
- You can get a lower interest rate: Interest rates on joint wedding loans are often lower than those on individual loans since there is less risk for the lender.
- You can get a bigger loan: If you apply for a joint wedding loan, you may be able to get a larger loan than you would if you applied for an individual wedding loan.
- You can improve your credit score: Taking out a joint wedding loan can help improve your credit score since it shows that you’re able to manage debt responsibly.
Contact our team
We love to hear from each and every one of you. Please feel free to reach out to us today!