Are you planning to tie the knot soon?
Weddings are among the most important events in our lives but they can be one of the most expensive affairs too. The average cost of a wedding in Singapore can range from S$30,000 to S$50,000. This is close to a downpayment for an HDB flat in Singapore!
Ever wondered why a wedding costs so much? Here’s a breakdown of the various expenses you might incur. Do note that the list below isn’t an exhaustive one.
|Wedding Banquet||S$1,200 to S$1,400 per table, with a minimum of 10 tables. Alternatively, restaurants impose a minimum booking sum of S$15,000 to S$20,000.|
|Photography and Videography||S$2,500 to S$4,000 for a full day event or S$150 to S$300 an hour for freelance photographers|
|Wedding Rings||S$1,000 and above, on average
|Wedding Gown and Makeup||Approximately S$4,000, if you opt for a bridal package
|Honeymoon||This depends on where you’re visiting but the total cost can easily reach S$3,000 for both you and your partner
|Miscellaneous Expenses||From $1,000 and up. This includes gifts for helpers and relatives and dressing up groomsmen and bridesmaids.|
With such hefty expenses, it’s no wonder that some couples decide to take up a wedding loan in Singapore to help ease their cash flow. This is a funding option that becomes even more important to consider if you’re planning for a large-scale wedding.
Chinese, Indian, and Malay wedding loans in Singapore are like personal loans for weddings in Singapore.
You’ll receive a lump sum from the lender to pay off all your wedding expenses in one go. Thereafter, you can spread out the costs on your end by repaying the lender in monthly instalments. Financially, this makes things a lot easier for you and your partner as the expenses become more manageable.
Some couples end up depleting their savings for their wedding when they have to fork out a lump sum. This is not recommended, especially if you are also planning to buy a new home soon after you get married.
When the time comes, you can either apply for a bank loan for weddings in Singapore or opt to take up a wedding loan from a licensed money lender instead. While bank loans usually have stringent criteria for borrowers with long processing times, applying for a wedding loan from a licensed money lender is much more straightforward.
Simply put, a wedding loan in Singapore will help you pursue your dream wedding without the burden of immediate repayment. You get to have your wedding cake and eat it too.
Applying for a wedding loan with any licensed money lender is easy – you just need to meet the following requirements:
- You must be 18 years old at least
- You must be employed in a full-time role, as a part-timer, or self-employed
- You must be a Singaporean, Permanent Resident, or foreigner residing in Singapore
Do have these documents ready when you’re making your application at the licensed money lender. This makes the application process more seamless and might even speed up your loan’s approval.
- NRIC (for Singaporeans or PRs)
- Work Pass (For foreigners)
- Latest 3 months’ company payslip for salaried employees or proof of income for self-employed individuals (e.g. bank statements)
- Latest 3 months’ CPF Contribution Statement
- Latest Income Tax Assessment record
The entire loan application process takes just three steps and it can even be done in less than half a day. Here’s how you can go about it:
- Submit your details on the licensed money lender’s website or at their business premises and provide all the necessary supporting documents and information required to process your loan application.
- The licensed money lender’s loan officers will then contact you to request a face-to-face meeting at their business premise for verification. They will also obtain your MLCB report to ensure your eligibility for the requested loan amount.
- Upon approval, carefully read the terms of the loan contract before signing it. Pay attention to important details such as the interest rate, repayment period, and any additional fees or charges.
- Once the contract is signed, the funds will be disbursed instantly to your bank account or provided in cash. You can then use the money to cover your wedding expenses when the invoices arrive.
Taking up a wedding loan can be a timely solution that not only offers you a chance to organise and experience your dream wedding, but also provides you with financial relief. However, as a word of caution, such a loan should only ever be considered as a short-term solution.
As with any type of loan from a licensed money lender, you must be mindful of repaying your wedding loan in Singapore on time to avoid stacking late interest charges (up to 4% of the unpaid amount that is due) and fees (up to S$60 for each month of late repayment). These extra fees and charges can eventually snowball and become a large financial burden.
Do start your wedding plans with proper budgeting to ensure that you can afford all the expenses before applying for a wedding loan. Remember, the purpose of taking up a loan is to help you ease your cash flow. It isn’t financially prudent to use the loan for wedding expenses that you otherwise would not be able to afford with your income and/or savings.
Once you’re ready to apply for a wedding loan, rest assured that the process is easy and fast with Dio Credit. Our experienced loan consultants are always available to help you with the application process and answer any queries you may have about wedding loans or other loan types. Apply for a wedding loan with us now!