Married life shouldn’t really have to start with debts being paid off, but with the cost of the average wedding reputed to be anything up to £18,000, wedding costs can often be higher than you think – and a potential hit to your credit rating.
Experian research* found that the average couple (meaning those either planning to get married, are married or that have been married) say the budget for their nuptials came in at just under £4,000 (£3,998).
However, once they were asked to itemise separate costs, such as the dress, the venue, the rings and the honeymoon, the total average cost leapt up to £6,627 – suggesting that perhaps many of us underestimate how much a wedding will cost.
Around one in seven (69%) pay for it from savings, while around one in five are using some form of credit, whether that be a card, a loan, or paying in instalments.
According to the research, 14% of couples have had to delay their wedding because of cost considerations – of those, 9% needed to improve their credit scores, while 7% were turned down for a loan so had to wait and reapply.
If you’re budgeting for a major event like a wedding it can thus be important to be able to access the best credit deals to suit your finances.
When you make a credit application, most lenders want to make sure you’re able to pay it back before they commit to giving you credit. They’re looking for proof that you’re a reliable and responsible borrower – they want to know that you will make repayments on time and that you aren’t already over-stretched.
Checking your credit report is the first major step to this, as the more you know about how your credit report works and how lenders and others use it, the easier it is to improve your credit rating, and give yourself the best chance of getting the most favourable deals to help you with budgeting around it.
*Research was carried out online on behalf of Experian Consumer Services by Canadean Consumer among a representative sample of 1,445 UK adults who are married, have been married or who are planning their wedding.