Blog

Personal Loans for Destination Weddings in India: Smart or Risky?

Submitted by admin on June 9th, 2025

Big plans, big stages… their dreams are big… and so, is their debt. Many couples and families in India are suddenly wondering this as more people opt for destination weddings. The thought of getting married at royal palaces in Udaipur and Jaipur or at a beach in Goa or Kerala, definitely appeals to many. So, since many families cannot afford the average cost of a destination wedding in India which ranges from ₹10 lakhs to ₹1 crore, they often take out personal loans to finance their wedding plans.

Why Personal Loans are Often Selected

Getting a personal loan is appealing since you don’t have to give any guarantee in the form of gold or property. Such loans are sent quickly, usually within 24 to 72 hours which makes them great for late wedding needs. College loans are offered with flexible repayment terms of 1 to 5 years, each month. Lenders don’t need borrowers to tell them why the loan is needed which is very suitable when wedding expenses are not always predictable.

The Possible Financial Problems

Even so, choosing to get a personal loan for your wedding isn’t risk-free. People are mainly concerned about high interest rates in India which can reach up to 24%. Therefore, repaying a ₹10 lakh loan may end up needing ₹12 lakhs to ₹15 lakhs. It’s not fair for the environment when people spend so much money on something that ends quickly.

When It Is a Good Idea to Take A Loan

Some situations exist where getting a personal loan for a wedding can help. If the balance is not too big and you have an organized way to pay it back, it’s probably fine. Having stable jobs and both partners working helps people manage their debt well. It can also make sense if taking a loan prevents you from dipping into long-term investments like mutual funds or retirement savings.

Smarter Alternatives to Wedding Loans

If you’re set on having a destination wedding but want to avoid a financial burden, consider some smarter alternatives:

• Reduce the guest list to keep the event intimate and affordable.
• Book venues and vendors early to get better deals.
• Use credit cards strategically to take advantage of interest-free periods for smaller expenses.
• Explore wedding-specific loan products that may come with better terms than standard personal loans.

Final Verdict: Smart or Risky?

In conclusion, borrowing for a destination wedding can be both smart and risky—it all depends on your financial discipline and repayment capacity. If you plan carefully and borrow within your means, a personal loan can help you create the wedding of your dreams without destroying your future. But if you’re taking on a large loan purely for luxury or show, it might be wiser to scale down. After all, your wedding is one day—but your debt could last for years. Choose wisely.