When Borrowing Is a Good Idea
Uh oh. You don't have enough money for the wedding.
Whatever the reason, you don't want to downsize your wedding or elope. You need funds, and you need them sooner rather than later. Borrowing a lot of money or running up credit card charges to pay for a wedding is not behavior we advise. However, if your money crunch is a temporary situation or you don't need to borrow much, you might think about a loan.
Keep It In the Family
Turning to family first is the best idea, unless those are the same people who caused the problem to begin with by taking back a promise of financial help. These loans don't require credit approval or have interest charges and payment dates that aren't subject to change.
Offer to sign a note for the money with the terms for repayment clearly stated, and make certain you intend to honor your commitment, not act like it's going to be a gift.
Essential
All the challenges you may face in pulling off your wedding will help you learn how to work together as a team with your fiancé. It's great practice for life as a married couple — and that's worth everything, all the tears and the laughter and the heated discussions.
Turn to a Financial Institution
If you have to borrow money from a financial institution, see whether you can take out a loan using your savings or CD account as collateral. The collateral must stay in the bank or credit union until you repay the loan.
Essential
Check your credit rating before you apply for a loan. Your credit rating determines how much money you are eligible to borrow. Although basic reports are free, you can purchase a more detailed report for a small fee.
If you don't have a savings account, a local bank or credit union might still approve a loan for you.
Credit Cards
Avoid overcharging your credit cards. When all else fails, however, use a credit card with the lowest interest rate you can find. Check on whether taking out a cash advance carries a lower interest rate, and use that option first if you can.
