How to Ease the Financial Burden of Planning a Wedding

It’s known that weddings are expensive. It’s still surprising seeing the average wedding cost in 2017 was $27,698! A direct cause of the steep price for a modern wedding is the increased costs of venue locations, entertainment, photography, just to name a few. Every little purchase adds up really quick, for example, the average cost of wedding invitations are just under $800!

Many don’t have the funds or are able to cover the expensive costs up front. What options does that leave for couples paying for their own wedding?

There are certain credit cards available to help cover some of the wedding expenses. Perks of using credit cards to cover some of the costs include getting value back in the form of protection and rewards depending on the card. Of course, when it comes to paying for the wedding there is always Honeyfund!

Being Financially Disciplined

Remember to stay financially disciplined when using credit cards. It’s not smart to put the total cost of your wedding on a credit card. Most likely, you’ll not be able to pay off the costs in full when the bill is due. This means you’ll start piling on interest, which means you’ll owe even more than the original cost!

When it comes to credit cards, use them as a way to earn value back as you spend. Always remember to pay both on-time and in full by your credit card due dates. These cards are tools that affect your future depending on how you use them.

 

Cash Back Reward Credit Cards

Cash back/credit reward credit cards are a great way to save money as you shop for your wedding. A cash back card won’t make you rich, but saving a percentage on almost every purchase you’re making anyway provides you with some great value that adds up over time.

Cash back cards are just one type of a rewards credit card. Unlike other rewards cards which might offer points on purchases that can be redeemed for varying value, cash back cards have simpler redemption options. You can usually redeem for statement credit, which makes the rewards more like a small discount on the things you buy.

Usually, you’ll get a percentage back as high as 6% depending on what you purchase. Credit cards also provide benefits like price protection, insurance, and warranties. You’ll save on your wedding purchases as you earn money back.

As long as you can pay off your expenses monthly, these are great for some wedding purchases. For example, the Discover it card offers rotating categories of 5% cash back. This year the card provides 5% back on restaurant purchases from July through September. While Amazon.com and wholesale club purchases earn 5% from October through December. That means for any food purchases, Amazon, or wholesale club wedding purchases you’ll earn 5% back on purchases made during that time.

 

0% Introductory APR Credit Cards

photo courtesy Credit Card Insider

If you’re looking for a way to pay off larger wedding expenses, look for credit cards that offer an introductory 0% APR period.

These cards provide a length of time, usually between 6-18 months, where you won’t have to pay interest on your credit card balances. You’ll still need to make the card’s minimum payments, but it’s comparable to an interest-free loan for that period. Take note that after the introductory period is over, the interest rate switches back over to the regular purchase APR. Any leftover balance is now subjected to that new rate.

These cards are designed to be useful if you’re planning a large purchase or expect to spend a lot of money soon. One place they can come in handy is when you’re securing a wedding venue. If you book a $10,000 venue, a 0% APR credit card of 12 months gives you a year to pay that cost off interest-free! With proper budgeting, you could pay off the card in a year by paying just over $900 per month.

The Blue Cash Everyday card from American Express gives you a 0% intro APR on purchases for 15 months. Although it’s not the longest 0% interest rate on the market, it also provides cash back rewards.

Crowdfunding Honeymoons

Earlier this year Forbes reported that the average honeymoon cost is $4,466! That’s where Honeyfund comes in! If you already live with your significant other or just want to start your marriage off on a firm financial foundation, honeyfund is a great alternative wedding registry to help you achieve your dream honeymoon without adding debt.

As you’re planning your wedding, consider different options to help with the expenses. Credit cards are great when used responsibly. They offer different protections, which can provide you with a sense of security. Cards that offer a 0% introductory APR provide periods of time during which you can pay off certain expenses. Cash back credit cards offer a percentage of money back on every purchase you make for the wedding. Check into crowdfunding sources to ease the burden of paying for an expensive honeymoon. These options can help make even the most stressful planning days easier!

Jacob Lunduski is a Financial & Credit Card Industry Analyst. His mission is to help consumers save money and to earn rewards by using credit cards in their financial budgets. He strongly feels the need to educate consumers on how to do so responsibly, without ever entering expensive debt by using a credit card. 

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