Using Debt Consolidation to save for a Wedding
Plenty of people have heard about the great benefits that debt consolidation can bring to people who are having trouble with their debt, but few people realize that it can be a useful tool for people who are trying to save. In fact, many people use debt consolidation as a way to save for their wedding.
Getting married is one of the most expensive traditions that Americans buy. A typical wedding can cost around $23,000, forcing many couples to start their lives in debt. Instead of racking up tens of thousands of dollars in high interest credit card debt, why not save the money you need and hold your wedding without owing a dime of debt afterwards?
Of course, many people have trouble finding enough places to cut in their budget to make it possible to save up enough for a wedding. When you’re young and trying to set up a household while getting established in your career, it’s pretty typical for your budget to be tight. That’s why you need to think about debt consolidation.
Under debt consolidation you and your future spouse’s credit cards, student loans, personal loans, and hospital bills are completely paid off and replaced with a single loan. This loan has a lower interest rate and a lower monthly payment. That means that you’ll pay less on your debt every month, freeing up cash that can be used to pay for your wedding.
As an added bonus, you and your future spouse will be starting your married lives without the burden of a lot of debt. Rather than constant fighting over which bills to pay or added stress while you’re trying to combine two household together, debt consolidation makes it much simpler to combine your finances together. When you get married, you can be overwhelmed by the process of working out a budget together. After all, it’s very common for one partner to have more debt and/or more income than the other, making it difficult to agree on spending and saving.
With debt consolidation, all of your debts are combined together into one loan. That means you won’t be constantly fighting over who should pay which debts.