A happy couple at their wedding, for which one may need a wedding loan

All You Need to Know to Get a Wedding Loan Approved Quickly

8 min

Now that you are engaged, it’s time to start preparing for the next step – the dream wedding. As it is one of the best days of your life, you undoubtedly want it to be the best one.

In Singapore, weddings are inevitably very costly. Not everyone can meet the wedding costs with their savings or with help from family members. So if you don’t want to cut back and have a smaller ceremony, consider getting a wedding loan for financing from a licensed money lender.

Here are six tips to help you get a wedding loan faster. But first, let’s understand what exactly a wedding loan is.

Wedding loan explained

A wedding loan is a type of personal loan meant for a special life-changing event–a wedding. By getting funds from a licensed money lender in Singapore, you can satisfy the cost of your wedding activities. The wedding event budgeting includes the expenses of all items. Hence, before approaching the lenders, it is important to know the estimate.

Generally, a wedding loan would cover these expenses:

  • Hiring service providers (wedding organiser, photographer and videographer, make-up artist and hair stylist, etc)
  • The cost of the wedding banquet
  • Buying or renting wedding gowns and suits
  • Purchasing wedding bands and other essential jewelry
  • Wedding car rental
  • Accommodations for the guests of the wedding
  • Other wedding-related expenses

How to get a wedding loan approved quickly in Singapore

Check out our six tips below on how to get a wedding loan approved quickly:

1. Maintain a good credit history

Your credit history plays an important role in getting a loan approved. It demonstrates to the lender that you are a reliable borrower and can pay off the loan on time.

So, boost your credit history by paying your credit card and other bills on time, settling any other loans, and avoiding bounced cheques. You can purchase and view your own credit report to understand where your credit score stands, and identify if any improvements are necessary.

2. Improve your Debt to Income (DTI) Ratio

DTI is another major factor that many lenders consider while assessing your loan application. It is the percentage of your monthly income that goes towards the payment of monthly loans.

DTI demonstrates your ability to pay off the additional loan you’ve applied for, while still paying for other loans. The lower the percentage of your income that goes towards loan repayments, the better your chances of loan approval.

3. Borrow only the required amount

It is advisable not to get more than the required amount for your big day. This is because the higher the amount you borrow, the longer the approval process as the lender needs to do a more thorough credit check.

It might seem like a good idea to borrow more while preparing for the wedding as it allows you to buy better clothes, cater better food, and hire a better venue, but you may regret it when it’s time for repayment.

So, apply for the loan only after outlining the wedding budget, and then stick to it.

4. Choose a licensed money lender

While seeking a wedding loan, it is important to choose a licensed money lender to avoid scams and debt traps.

The best way to identify the right lender for your needs is to refer to the official list of licensed money lenders in Singapore and narrow down a few options. Then, check each shortlisted lender’s reviews on Google to benefit from other borrowers’ experience.

Once you find a lender to suit your needs, you can secure the best deal and get the loan with minimum effort. This is because licensed lenders focus on helping their clients in their hour of need instead of trying to scam them.

Unlicensed lenders tend to try and get the most amount of interest out of unsuspecting borrowers, but licensed lenders are only allowed to charge a maximum of 4% interest per month from borrowers.

By dealing with licensed lenders, you will get your loan approved quickly, whereas with unlicensed lenders you run the risk of not even getting the loan amount. Instead, you may be asked to transfer various fees before getting your loan approved – none of which is legal.

5. Get help from a co-signer

If you already have multiple existing loans or a bad credit history, consider getting a co-signer.

Similar to loans provided by banks, you can qualify for a loan from a licensed money lender by getting help from a trusted party who applies for the wedding loan with you and acknowledges to pay if you are unable to do so

6. Apply for a joint loan

A joint loan is shared by you and your partner. It is similar to having a co-signer, but while a co-signer pays back a loan in case you cannot, a joint loan means both parties are equally responsible for paying it back.

Taking a joint loan is beneficial because when money lenders consider your application, both your credit history and income are taken into account.

Checklist on the 6 ways to get quick loan approval

Now that you know how to get a wedding loan, let’s look at some of the advantages and disadvantages of this option:

Advantages of getting a wedding loan

Convenient option

Loans are the best way to get a quick cash infusion for your wedding. After all, when you have to quickly pay service providers such as caterers, wedding venues, etc. who demand advance payments, you need funds fast.

So if you don’t have sufficient cash saved for the wedding, you can take a loan to cover a fraction or all your expenses.

Smooth application process

The application procedure for wedding loans is easy. Many licensed lenders receive online applications and make the overall process smooth.

Once your loan gets approved and following a mandatory face-to-face verification meeting at the lender’s office, the money gets deposited to your bank account directly (or can be paid to you in cash, if you prefer). Most lenders in Singapore release cash quickly, as soon as 30 minutes after approval.

No collateral is required for an unsecured wedding loan

Obtaining wedding loans does not risk your property, as they are usually unsecured loans.

Of course, for this benefit, the interest rates are usually higher, but since licensed money lenders can charge no more than 4% monthly interest, you know exactly how much you’d need to pay in interest upfront while getting the loan.

Improves your creditworthiness

If you want to boost your credit rating, it is important to pay back the loan on a timely basis.

A good repayment history comes with many benefits, the most important one being that it makes it easy for you to qualify and get other loans easily in the future.

Does not harm the credit score

Loan applications from licensed money lenders are not reflected in CBS Credit Report and can have no effect on your credit score, unlike loan applications from banks.

Therefore, getting or even just applying for a wedding loan from a licensed money lender is a safe bet.

Might incur a lower interest rate compared to using a credit card cash advance

Some people use credit cards for wedding expenses. Nevertheless, it is not an ideal choice as getting a cash advance from a credit card would incur high interest rates.

Depending on your circumstances, you might be able to get a wedding loan with a lower interest rate compared to a credit card cash advance, which can get as high as 30% per year in Singapore.

If you have a good credit history and a stable income, you’re likely to be rewarded with a wedding loan with a competitive interest rate.

Disadvantages of getting a wedding loan

As you have seen above, there are many advantages to getting a wedding loan, but there are some disadvantages as well:

Starting a new chapter of life with debt

A wedding lasts a day, but a marriage lasts a lifetime.

So for couples who do not have the means to fund the wedding of their dreams without taking a loan, it may be worthwhile to take a moment and consider if this is something they want to do. After all, it involves taking on the burden of debt in the very initial stages of their life together.

Difficult to qualify for a new loan

Those who have an existing loan have reduced chances of getting another loan approved.

Hence, if you want to purchase a house after your wedding or start planning for a family, it is tougher for you to qualify for the loan if your wedding loan is still unpaid. This can be risky considering you may be looking at various other loans as a young adult.

Chances of spending more

With a loan, you end up having money in your hand. For occasions like weddings, it may be tempting to spend more than originally planned. So it’s necessary to be mindful of the costs and expenses to avoid taking on larger debts than necessary.

Here’s a summary of the advantages and disadvantages of getting a wedding loan:

Infographic on the advantages and disadvantages of a wedding loan

How to apply for a wedding loan?

A wedding loan is filed by the prospective bride or groom submitting relevant documents that are common to most loans.

As is the case with most loans, many licensed money lenders consider the multiple loans you may already have and your repayment history. All this has an immense effect on the lending decision. Hence, it is advised to pay every debt of yours in advance. Arrange for every single document before applying for the loan.

Infographic on the documents and criteria required for a wedding loan

Applying for a wedding loan with Cash Direct

A wedding loan is a helpful solution to cover all or part of the wedding expenses in Singapore. Do not forget that you have a choice to work with a smaller budget or cut costs for your wedding.

If you do decide to take a wedding loan, consider Cash Direct and apply for our low-interest wedding loan now! If you need more information before deciding, don’t hesitate to approach us — we’d be happy to answer any questions you may have.


The information provided on our website is for educational and informational purposes only and is not intended to be a substitute for legal or financial advice. While we try to ensure that information on this website is accurate, we do not warrant that the information will be free from error. We shall not be liable for any loss or damage that may arise from the use of this website.

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