Planning a wedding with bad credit

Quick insights

• It’s possible to get a loan to pay for your wedding with a low credit score, but you may find the terms are not as favorable as they would be if you had good or excellent credit.
• Your credit score is just one of several factors lenders consider when determining your eligibility for a personal loan, such as a wedding loan.
• There are alternative ways to fund your wedding if you have low credit.

Your wedding day is an important milestone in life, and like many other big events, it can come at a cost. If you’re trying to get a loan to pay for your wedding but have low credit, let’s review your options.

Are there credit score requirements for wedding loans?

Your credit score is a part of the approval process when applying for lines of credit such as personal loans, which is the type of loan you would apply for if you’re trying to pay for a wedding. Lenders look at your score to help determine your creditworthiness—in other words, your ability to repay your debts in a timely manner. If you have a low credit score, you could face some difficulty getting approved for a loan, including one for a wedding.

Even if you do get approved for a loan, you may find it comes with high annual percentage rates (APRs) or that your loan amount is not as high as you were hoping.

Note that credit scores are just one of several factors lenders consider when determining your eligibility. They may consider, for example, your debt-to-income ratio and negative marks on your credit report.

Can you get a wedding loan with bad credit?

Credit score models often have credit scoring ranges that go from poor to exceptional. If your credit score falls in the poor category as referenced by some models, you might feel this is "bad credit." While there is technically no definition of a "bad" credit score, in this article the term "bad credit" refers to low credit scores

While it’s possible to obtain a wedding loan with bad credit, it could require some additional documentation and the loan terms may not be as favorable as what someone with a good credit score would receive. You may want to try and improve your credit score or consider adding a co-signer to help improve your chances for approval. A co-signer is someone who is legally responsible for re-payment of your debt and is held accountable if you do not make your payments.

Remember, your credit score is just one of several factors that lenders look at—if you have a positive employment history or are showing progress towards paying back debts, you may have better approval odds.

The pros and cons of getting a wedding loan with bad credit

There is no “good” or “bad” time to take out a line of credit, but in general, it’s helpful to apply when you have a good credit score and haven’t recently applied for several other lines of credit.

What you can do is weigh the pros and cons of getting a wedding loan with bad credit and determine what makes the most sense for you.

The pros of getting a wedding loan while having low credit may include, but are not limited to:

• While you may not be approved for a loan with the best terms, getting a loan with bad credit could still mean you’re able to pay for the wedding you want, compared to if you didn’t have a loan at all.  
• You’ll have access to funds sooner so that you can begin planning and paying for your wedding.
• The ability to see where you stand financially early on to see what you can and can’t afford with your loan.

The cons of getting a wedding loan with low credit may include, but are not limited to:

• You may receive a loan with bad terms, which could include a high APR and low loan amount.
• You’d be putting yourself into debt, and this could be on top of any outstanding debts you already have.
• Lenders run a hard credit check when you apply for a loan, so applying for a wedding loan may further lower your credit score.

Alternatives to getting a wedding loan with bad credit

If a personal loan is not the right choice for you, there are some other methods to pay for your wedding. These include:

• Making payments using a credit card, and potentially a card with a 0% APR period to save on interest costs.
• Creating your own savings plan by contributing money towards a savings account you will use for your wedding expenses.
• Asking family members to borrow money for your wedding, and you could set up a repayment plan that works for both you and them.

Saving strategies for a wedding with bad credit

If you’re not in a rush to plan your wedding, you may want to spend some time saving and improving your credit before making large purchases. Some strategies to help you prepare for a wedding are:

• Start early. Begin saving and creating a budget that can help achieve your savings goal as soon as possible.
• Cut unnecessary expenses. For example, consider freezing subscriptions and put that money towards your wedding savings.
• Earn extra income. If it’s feasible, you may find that adding a side gig or additional methods of earning income may help you achieve your savings goal faster.

Improving credit score while planning a wedding

Whether you’ve decided to apply for a personal loan to pay for your wedding with a low credit score or want to wait until you have a higher credit score, helping improve your score can be beneficial to your credit profile. It can be overwhelming to plan a wedding and manage your finances at the same time, but it’s essential to make your payments on time and in full as best you can. This helps to improve your payment history, a major factor that is used to generate your credit score.

To avoid hurting your credit score, refrain from applying for several lines of credit at once. Additionally, try to abstain from racking up debt on credit cards that you may use to make purchases for the wedding, as carrying a balance from month-to-month could lead to interest charges. Keeping a careful eye on your spending and following a budget can help you maintain your credit while planning your wedding.

The bottom line

Your wedding day is a huge moment in your life. If you’re trying to plan for a wedding but have poor credit, helping improve your score can be beneficial to your credit profile. However, when you use your credit wisely and are careful about your finances, you can help avoid further stressors as you start to plan your special day. Regardless of what your credit score is now, you can help improve it with consistent, healthy habits such as making your payments on time and managing your spending.