Wedding loan rejected - how to improve?

Hutchch0920

You do not need £15k upfront to pay for your wedding. Practically every service simply requires a deposit and the rest paid a few weeks before. As long as you have sufficient cashflow in the months running up to the wedding you don't need a loan. Work out a feasible budget now of how much you can save and start planning your day around that. If you are a couple of months shortnin 12/18 months time then get a much smaller loan.

bazzyb

immuno wrote: »

do you think it's even possible to improve my situation within a matter of 2-4 months, or is it likely to take much longer?

In a couple of months or so, you're still going to have a 'thin' file, you're not going to find that lenders will suddenly want to loan you a huge amount of cash.

£15k on a wedding for 20 guests is bonkers. That's £750 per head.

Why not consider waiting to get married, or simplify the wedding to save costs. Or preferably both.

You appear to have a reasonable joint income so shouldn't take you too long to save up a half decent wedding fund.

TBagpuss

Have you and your partner sat down and worked out a budget for the wedding? £15K seems a huge amount, particularly if you are planning a small wedding. (and presumably no dress to buy!)

Like others have said, part of the problem is the amount of credit you've applied for recently, plus the change of address and the fact that you are only paying the minimum.

If you can start clearing your cards in full each month, and start building up some savings you'll begin to improve things.

In the mean time, why don't you and your fiance sit down and work out what you want from the wedding and get a clear idea of the likely costs of things such as the venue etc that you want, and get an idea of how long it would take you to save for the wedding.

immuno

Arleen wrote: »

Acutally most people do not have 15k weddings in the UK. More and more people instead settle for a quick ceremony and then a reception in some nice restaurant with close friends. You really can have a fantastic celebration for a lot less money with 10 or so of your closest friends. Add 200 quid for photo-op session in a nice scenic location and you are set.

If you don't mind me asking, do you hail from a different country? I know that in East Europe people are crazy and go in mortgage-level debts just for their wedding reception, as that is something their families expect.

As for repaying debt, repay the loan first - as it accumulates interest. But after that, you must save aside for the day when 0% period runs off on the card - and then repay it in full. So you will have to save extra 3k over time, that is set aside for repayment of it.

I never said 15k, I just said 10-15k loan...I was planning on a 7k wedding and 3k honeymoon.

I am from Eastern Europe, although I've lived here since the age of 2. My partner is very Eastern European and the wedding is important to her. We don't have any family to impress, though.

immuno

TBagpuss wrote: »

Have you and your partner sat down and worked out a budget for the wedding? £15K seems a huge amount, particularly if you are planning a small wedding. (and presumably no dress to buy!)

Like others have said, part of the problem is the amount of credit you've applied for recently, plus the change of address and the fact that you are only paying the minimum.

If you can start clearing your cards in full each month, and start building up some savings you'll begin to improve things.

In the mean time, why don't you and your fiance sit down and work out what you want from the wedding and get a clear idea of the likely costs of things such as the venue etc that you want, and get an idea of how long it would take you to save for the wedding.

Yep, we planned for a 7k wedding, not 15k. This includes the dress, etc.

So it's better to pay off more each month? Ok, thanks

immuno

Hutchch0920 wrote: »

You do not need £15k upfront to pay for your wedding. Practically every service simply requires a deposit and the rest paid a few weeks before. As long as you have sufficient cashflow in the months running up to the wedding you don't need a loan. Work out a feasible budget now of how much you can save and start planning your day around that. If you are a couple of months shortnin 12/18 months time then get a much smaller loan.

Thanks, I was thinking this as well. I just felt nervous to pay deposits without being able to guarantee that we'll save that much...but we should be able to!!

meer53

Good job you're having a small wedding, god knows how much it would have cost you for a large one ! I got married for £15 with a meal with friends after. We had a fabulous day. We bought a house instead of spending on the wedding.

immuno

molerat wrote: »

It's not normal, £15K is well extravagant !

7k for the wedding

enthusiasticsaver

immuno wrote: »

Thank you for your honesty. I agree that we should be able to save more, but we had to move unexpectedly twice in the last year, which was hard..

Would it help to pay more than the minimum amount on my credit card?? I can afford to do so, just thought I'd save instead of paying off more immediately...and thought it's better to clear the loan faster, as the credit card is 0%.

My advice would be don't take out another loan. Pay off the current loan asap as the credit card is 0% which is what you appear to be doing. Scale down your wedding plans to what you can afford and maybe just a weekend away and honeymoon next year when you have saved sufficient. Many people do that and most people don't spend a small fortune on a wedding unless they have plenty of money or have saved for it. Don't start your married life off with a loan which will be a financial millstone around your neck.

Do you know if you will have to pay HMRC anything?

immuno

enthusiasticsaver wrote: »

My advice would be don't take out another loan. Pay off the current loan asap as the credit card is 0% which is what you appear to be doing. Scale down your wedding plans to what you can afford and maybe just a weekend away and honeymoon next year when you have saved sufficient. Many people do that and most people don't spend a small fortune on a wedding unless they have plenty of money or have saved for it. Don't start your married life off with a loan which will be a financial millstone around your neck.

Do you know if you will have to pay HMRC anything?

Thanks. I guess the idea of taking out the loan was for security that we can put down deposits knowing we'll definitely have the money, but we planned to pay it off within the next 18 months, before the wedding...not after! If that makes sense..

Somebody mentioned that it's better to make repayments that are higher than the minimum amount on the credit cards. Is this better, or is it better to save and pay off the loan faster?