Marriage Loan

Marriage loans can be taken to fund the expenses associated with a wedding. Depending on the bank, the interest rate that will be levied and the maximum loan that is provided will vary. Leading banks in India like HDFC Bank, ICICI Bank, and Tata Capital offer marriage loans to eligible individuals.

Marriage Loan Interest Rates from Top Banks 2021

Top Lenders Offering Personal Loans for Wedding

Marriage Loan ICICI Bank

One of the top private banking firms in the country, ICICI Bank understands that a wedding needs to be special and hence, offers personal loans to meet expenses related to the wedding. The main features offered by marriage loan from ICICI Bank are given below:

• The loan application process is easy and can be done online.
• The documentation required is minimal.
• Can be used to fund wedding-related expenses such as decorations, booking the venue, etc.
• The wedding loan from ICICI can be availed through the iMobile app that can be downloaded on your smartphone.

Marriage Loan Tata Capital

With more than 200 branches across India, Tata Capital caters to the financial needs of its customers and with its wedding loan offering, it turns their dream wedding into a reality. Some of the features offered by these loans are listed below:

• Tata Capital may offer a loan of up to Rs.25 lakh.
• The repayment tenure ranges between 12 months and 72 months.
• The marriage loan availed from Tata Capital can be repaid through online mode on its website or by dropping a cheque at the nearest branch.
• Tata Capital does not charge a fee on prepayment of the loan.

Marriage Loan HDFC

The main features of the marriage loan offered by HDFC Bank are mentioned below:

• The loan amount offered by bank varies from Rs.50,000 to Rs.40 lakh.
• The repayment tenure ranges between 12 months and 60 months.
• No collateral or security needs to be provided.
• The process to apply for the loan is simple and can be completed online.
• The process to apply for the loan is quick and hassle-free.

Eligibility Criteria

Your eligibility for a personal loan for wedding will depend on various factors and this can vary for each applicant. The eligibility criteria may also vary from lender to lender, but the generic ones have been listed below:

• Minimum age: To apply for a marriage loan, individuals should be aged at least 21 years. For some lenders, the minimum age required for a marriage loan is 23 years.
• Maximum age: Salaried individuals interested in availing a marriage loan should not exceed 58 years of age, while self-employed applicants should not be aged more than 65 years of age.
• Minimum Net Monthly Income: Generally, the minimum income requirement for wedding loans is Rs.15,000 but certain lenders may require it to be Rs.25,000. The current city, age, etc., of the applicant may also affect the minimum income criteria.
• Employment type: Salaried, self-employed individuals, and professionals are eligible to avail marriage loans provided they meet the minimum income criteria.
• Employment status: Applicants should have a steady source of income to avail wedding loans. Salaried individuals should have been employed for at least 2 years and at least one year with the current employer to avail marriage loans.
• Credit score: Lenders prefer lending to applicants whose CIBIL score is above 700. Applicants having lower CIBIL scores may also manage to secure a marriage loan, but they may be charged a higher rate of interest.
• Maximum Loan Amount: The maximum loan amount that can be availed as a marriage loan will vary from lender to lender and will be dependent on many other factors such as repayment capacity, income, CIBIL score, etc. However, the quantum of loans will range between Rs.5 lakh and Rs.20 lakh.

Documents required for Wedding Loan

Different lenders will require you to submit different set of documents during the loan application process but the basic ones that most of them may require from applicants have been listed below:

• Valid Proof of Identity: Applicants can submit any of the below-mentioned documents as a proof of identification when applying for a loan:
  • Voters ID
  • Passport
  • PAN Card
  • Aadhar Card
  • Driving License
  • Ration Card
  • National Rural Employment Guarantee Act (NREGA) Job Card
• Valid Proof of Address: The below-given documents can serve as a proof of address for the wedding loan application:
  • Driving License
  • Passport
  • Ration Card
  • Aadhar Card
  • Water/Electricity/Telephone bill
  • Rental Agreement
  • Voter’s ID
• Proof of Age: Applicants usually do not have to provide a separate proof of age as the documents submitted as ID proof and address proof will usually have the date of birth mentioned on them. However, if there is no mention of age on those documents, applicants can produce any of the below-given documents.
  • School leaving certificate
  • Birth Certificate
  • PAN Card
• For salaried individuals: Form 16 or latest salary slips or bank account statements showing the salary that is credited.
• For self-employed individuals: IT returns for the last 2 years, P&L Account, and Balance Sheet, and latest bank statements of the primary account for the past 6 months.
• Loan Application Form: Applicants will need to fill up the application for the marriage loan provided by the lender and submit it along with the above-mentioned documents. The form is also available for download from the lender’s website.

FAQs on marriage loan

1. What category of loans does a marriage loan fall under?

Marriage loans are basically a type of personal loan. Think of your loan as a personal loan, but for the purpose of funding your marriage.

2. Does everyone get the same loan amount, interest rate and tenure since its a purpose-directed loan?

No, despite everyone takes the loan for a specific purpose, the loan amounts that get approved vary from one another and are dependent on a lot of factors.

3. What are the factors upon which the loan amount depends?

Your loan amount that eventually gets approved or denied, depends on your age, net monthly income, employment type (salaried, self-employed, salaried professionals), employment status (term of employment, employability, etc.), CIBIL credit score, existing EMIs being paid, and in general, your ability to repay.

4. What are the documents that the bank or NBFC will ask for?

The bank will require your proof of ID (with photograph), proof of address and proof of income along with a duly-filled and signed form and 2 passport-size photographs.

5. Do any major banks offer marriage loans?

Most major banks and NBFCs in India offer marriage loans, like Punjab National Bank, ICICI Bank, State Bank of India, Citibank, IDBI Bank, Kotak Mahindra, HDFC Bank, Bank of Baroda, Capital First, Tata Capital, Axis Bank among many more.