The cost of 'I do': Average wedding debt outlives marriage

Monday, 27 July 2009 10:52

Young couples may want to leave dream weddings for fairytales after figures reveal the average debt incurred to fund a wedding outlives the actual marriage by five years.

The standard couple borrows £26,000 for the big day at a five per cent rate over 16 years, according to You and Your Wedding Magazine. The average marriage lasts just over 11 years.

Rising unemployment and an economic downturn do not seem to be acting as a deterrent. Spending on weddings is increasing by ten per cent a year and wedding loans totalled £467 million in 2005.

With the decreasing availability of credit and high cost of living, taking on a greater financial burden before the marriage even starts often proves too much. The divorce rate is set to significantly rise in 2009 and rows over money are said to be a contributing factor.

Couples may be overlooking the big costs associated with starting a life such as mortgage payments, cars or preparing for babies amidst the excitement of a wedding.

And the cost of big ticket items is not minor. The average new car is worth £14,000 while the average home price is almost a quarter million pounds.

"By cutting back where you can you will be glad of it down the line, especially when children come in to the equation. Think of the extra cash you could have available when you want to make your house a home, take a romantic break away, enjoy dining out together or decorate baby's room," said Stuart Parkin, managing director of Kensington Financial Management Consultants.

Spending smart doesn't mean eliminating a wedding ceremony altogether. Simple methods of slashing wedding costs include e-mailing instead of mailing invitations, buying a dress second hand or reducing the number of guests.

Mr Parkin added: "Weddings don't have to break the bank. You can still have your perfect day without the designer price tag and strain of a loan, after all a wedding is about love and commitment and not about being the next Cheryl and Ashley Cole!"

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