Frequently Asked Questions

• Should you get a wedding loan?
  With the average wedding cost in Canada ranging from $25,000 to $35,000, it can be challenging to finance such an event. If borrowing money is necessary to cover wedding expenses, a wedding loan might be worth considering. Loans for weddings could be a smart move, especially if you have good or excellent credit, can manage extra debt, and have a solid budgeting plan.
• Where can I get a wedding loan?
  Various sources like banks, credit unions, loan agencies, and online lenders offer wedding loans. When choosing a lender, it’s important to compare core factors like interest rates, repayment terms, fees, and the types of loans being offered.  Additionally, it’s a good idea to learn how the lender reports your payment activity to credit bureaus, as this can impact your credit score. Keep in mind that while some loans promote lower interest rates, they might come with hidden fees and charges or strict repayment schedules. Consider not just the interest rate but also the total borrowing cost, including fees; and choose a loan term that allows you to comfortably repay the loan on time.
• Can you take out a line of credit for a wedding?
  Yes, lines of credit offer an alternative for funding wedding expenses. They work as revolving credit, letting you borrow amounts up to a specific limit. Your income, debt to income ratio, and credit history help determine both your interest rate and borrowing limit. Note that line of credit interest rates are often variable, meaning your monthly payments could change, making budgeting less predictable. Before considering a line of credit, evaluate your financial situation. If you are not careful, easy access to funds can lead to overspending; plus, variable rates can introduce more uncertainty when compared to other financing options like personal loans, which offer more predictable and stable terms.
• How to choose a loan option for a wedding?
  To start, assess your financial position and determine your exact wedding budget. Check your payment history and credit profile; many major credit bureaus offer the option to perform a soft credit inquiry on their websites, which gives you access to your credit score. When exploring personal loan lenders, remember that different loan options might have different requirements, including a minimum credit score. Review the terms and conditions while looking for additional charges, such as an origination fee. If applicable, consider comparing different personal loan rates to help you find the most competitive option for your needs.
• Are there wedding loans you don’t pay back?
  The only way to access wedding financing without needing to repay the money is through a gift from an external party. However, if you need a loan and want to minimize interest, it’s beneficial to maintain good financial health. With strong finances you could secure personal loans with very low, possibly, single-digit interest rates. For smaller expenses, consider checking if your credit card offers a 0% rate option.
• Should I pay for my wedding with my credit card?
  While using a credit card can be convenient in many ways, it is important to be cautious when using the plastic for wedding payments. Some cards, such as the Discover credit card, offer features like cashback and travel rewards that can help pay for minor aspects of your wedding, like a venue deposit or honeymoon flights. However, keep in mind that credit cards often come with higher interest rates compared to other solutions like unsecured personal loans.  If you’re unable to pay your entire balance every month, you may encounter credit card debt that could pile up over time. Instead, consider using a credit card to finance purchases that you can comfortably pay off in the short run, and explore other loan funding options like a personal loan for larger purchases to avoid high interest rate charges.
• How long does it take to get approved for a wedding loan?
  Approval times for wedding loans differ depending on the lender and type of financing you choose. Lines of credit can take days to process, while personal loans are one of the quickest ways to obtain urgent funds. Some lenders, like Spring Financial, allow Canadians to apply online and receive money as soon as the same day they submit an application.   Apply today and explore funding options of up to $35,000, with rates starting at just 9.99%*. Spring Financial makes it easier to fund your wedding all from the convenience of your personal smart device.
• What are the pros and cons of financing a wedding with a loan?
  Many wedding loans offer quick funds, flexible repayment plans, and the ability to protect savings. However, they can lead to debt and affect your credit score if payments are missed or delayed.
• What can I pay for with a wedding loan?
  Wedding loans, often referred to as personal loans, can be used for various expenses. Couples often turn to them to cover wedding expenses which can include a wedding dress, engagement rings, venue rentals, decorations and even honeymoon costs.  Additionally, many people undertake personal loans for debt consolidation, travel, and home improvement. However, different lenders might have specific restrictions. For example, many institutions don’t permit using their personal loans for post secondary education expenses. Always check your loan agreement to ensure loan funds can be used to cover your intended expenses.