Weddings are exciting and romantic, but they’re also expensive. A recent survey found that the average wedding costs $38,900 and sends 33% of couples into debt.
You and your partner can avoid that problem by learning about these innovative strategies for managing wedding debt. You’ll minimize your financial stress and start your marriage in a more positive place.
Talk with your partner before making a few phone calls to potential lenders for wedding money. It’s crucial that you both discuss your financial histories and current credit scores.
If the partner with a higher credit score requests quotes, lenders will offer bigger loans with better interest rates. You’ll pay less interest after your big day and potentially save thousands of dollars.
You will only need your wedding venue for a day or two, but that could cost you tens of thousands of dollars. Professional venues increase their rental prices due to higher demand. Rental properties like those available on Airbnb are much more affordable.
Consider renting a non-traditional venue to host your wedding. You could reserve a historic castle, a private villa or a romantic country estate for much less than a popular venue in a major city. You’ll even get on-site boarding included in the cost, plus unique features like swimming pools and other outdoor activities.
There are more ways to secure money for your wedding besides taking out a traditional loan. You can also look into your credit options. Lines of credit, such as a credit card, have flexible repayment terms that factor in your income to avoid overwhelming your finances.
Brides can also consider a secured credit line if they can back their borrowing with property to achieve lower interest rates.
When it is time to start contacting bar service providers near your venue, you might experience a bit of sticker shock. The most popular option is having an open bar for guests, but that may add an average of $4,147 to your total wedding costs because you’d pay for multiple drinks per attendee. You’d also have to pick each drink, which would require learning more about bourbon and whiskey or creating craft cocktails.
You can also inquire about cash bar options while getting quotes. In that set-up, guests pay for their drinks and you only pay for hiring the bartenders. You can also opt to cover a champagne toast for everyone, but only if you feel like that’s within your financial capabilities.
It’s fun to sit down with your partner and create your wedding registry. Although you should daydream about your future dish sets and kitchen appliances, you may prefer to ask for donations from your guests. Set up a digital donation link on your wedding website and create a sign with the URL for your venue. They can gift money virtually or in cards so you can pay off your wedding debt right away.
Whether you are still planning your wedding or need a post-ceremony solution, you could always consolidate your debt after your honeymoon. Consolidating would combine your loans and pay them off with a debt consolidation loan. Afterward, you would only pay off the consolidating loan at a much lower interest rate, leading to a debt-free life sooner than later.
You or your partner may also qualify for a balance-transfer credit card. It would work the same way — you would transfer your debts to a single card and pay the balance in full while the initial promotional period remains active. Afterward, you’d only have to manage one smaller monthly payment if you qualify.
These are a few smart strategies for managing wedding debt before and after your ceremony. Think about what would help you and your partner the most to compare your options. You’ll find the best solutions for your financial needs, so you do not have to sacrifice the wedding of your dreams to stay afloat.