A wedding is often an incredibly important event that people usually only intend on doing once, and it ought to be up there with some of life’s happiest moments. It can often also be a stressful time for many couples. There’s all the planning and organisation, the nerves of the big day, family expectations, emotions running high and the borderline inevitability that somebody will make a scene. And of course, there’s the hefty costs involved.
According to MoneySmart, the average Australian wedding costs $36,200, and that’s excluding the honeymoon. Whether you’re paying for your wedding with savings, the help of family members, or a loan, it’s not unlikely that you could find yourself a little financially tapped out by the end of the ceremony.
Honeymoons are the often much-needed downtime after the big day, when newlyweds can really kick back and relax after the hustle and bustle and stress of a wedding. Money should be the last thing on your mind when you’re embarking on your exciting new life together. Unfortunately, every luxury has a price tag.
But don’t despair; even if you find yourself looking at a drained bank account, it doesn’t mean you can’t have the holiday of your dreams with the love of your life.
Here we’ll look at some financing options for honeymoons at home or abroad, including where to find the cash for your special getaway.
Personal loans for honeymoons
Personal loans for vacations are available from several lenders, so you may want to compare personal loans before making your choice. There are many companies that offer unsecured personal loans for vacations. You don’t have to go with your current bank or one of the big four banks to find the right loan for you. Some smaller companies and credit unions might offer more competitive rates than the bigger banks.
Personal loans for vacations are often unsecured personal loans, as these loans aren’t being used to buy an asset that can be held as loan security or collateral. If you’re looking for a honeymoon loan, a good start may be to compare unsecured personal loans. If you would prefer a secured loan, options may be available to secure the loan against an existing asset in your possession, like a car or home equity. This can be a risky move in some cases, as you could lose your asset if you default on your personal loan repayments, so it’s important to consider your options carefully.
Honeymoon loans for bad credit
The likelihood of your honeymoon loan application being accepted, as well as the interest rate you’ll be offered, may be affected by whether you have good credit or bad credit. To access a free credit report and find out your credit score, go to www.mycreditfile.com.au.
Bad credit might not necessarily keep you from being accepted for a loan, and shouldn’t stop you having the honeymoon of your dreams. There are companies that specialise in loans for bad credit; just be aware that this might mean that you must pay higher rates and potentially higher fees.
- Improve your credit score
Depending on how much time you have left to plan, you might be able to improve your credit score if you follow some of these handy tips (link). Some loans can be easily applied for online and have quick cash turnarounds, so if you can improve your score before submitting your application you may have a higher chance of approval, or of getting a lower rate.
- Guarantor loans for bad credit
There might be someone willing to help you out by offering to be a guarantor for your loan. Perhaps a parent or a family member with a good credit score can vouch for you. This does though mean that if you default on the repayments, their credit score will be negatively affected. It might be wise to only do this if you’re confident you can afford to pay the loan back on time.
Discounted honeymoon packages
A lot of statistics regarding the cost of weddings get bandied about by companies offering services that can trap people into thinking that an expensive wedding, and by the same logic an expensive honeymoon, is an inevitability.
Decadence can be done at a discount. Saving on something like a discounted honeymoon package leaves extra cash for souvenirs, dinners and multi-coloured cocktails with little umbrellas, to be enjoyed with your new husband or wife.