Losing a loved one is incredibly draining—emotionally, mentally, and financially. The weight of grief is often compounded by the reality that the average cost of a funeral is around $7,800. When overwhelmed, the thought of managing such an expense can feel insurmountable. Nevertheless, options are available to help you provide a respectful farewell without adding to your stress. Let’s explore ways to find the financial support you need during this challenging time.
What Is Funeral Financing?
A personal credit you undertake to pay for funeral expenses is funeral financing. The funds can be used for burial, buying a casket, and other related expenditures.
What’s the Cost of Saying Goodbye?
The National Funeral Directors Association (NFDA) reports that the typical cost for a funeral with a viewing and burial was $8,300 in 2023.
How to Finance a Funeral?
The passing of a loved one is a major jolt to the family and one has a lot to deal with. Apart from finding the best way to honor the person you have lost, you must give them a dignified closure as well, one that doesn’t swell your expenses. If paying upfront for the entire process is taxing for your pocket, consider financing a funeral.
What Are the Costs Associated With a Funeral?
Planning a funeral involves several important services and costs. Every detail matters to ensure a respectful goodbye, from the initial service fee to selecting an urn for the ashes. Here’s a simple guide to the key services and items you might need, making it easier to understand and choose the right options.
| Service | Avg. Cost |
|---|---|
| Basic services fee | $2,700 |
| Remains transfer | $320 |
| Embalming service | $670 |
| Additional preparation for the deceased | $200 |
| Printed service material | $260 |
| Casket selection | $3,000 |
| Hearse transportation | $370 |
| Burial vault | $2,500 |
| Cremation fee | $400 |
| Urn for ashes | $315 |
Note: The costs provided are approximate. Please consult the funeral home for precise and current pricing.
Funeral Financing Options
When covering funeral costs, there are several ways to get financial help:
➡️ Bank Loans
You can take out a personal loan from a bank to pay for funeral expenses. These loans have different interest rates and terms based on your credit score and the bank's policies.
➡️ Life Insurance
If the person who passed away had life insurance, you might be able to use the insurance money to cover funeral costs as some policies specifically include funeral expenses.
➡️ Funeral Home Financing
Some funeral homes offer payment plans that let you spread out the cost over time.
➡️ Grants for Funeral Costs
For those who are financially struggling, charities and government organizations offer grants and assistance programs to help with funeral expenses.
➡️ Credit Cards with 0% APR
A credit card with a 0% APR offer can help you manage funeral costs without paying interest for a certain period. Make sure you understand how long the offer lasts and pay off the balance before the regular interest rate kicks in.
What Are Payment Plans for Funeral Services?
Instead of covering the entire cost of funeral services upfront, payment plans allow you to pay in installments, easing the financial burden over time.
These plans typically involve making regular, scheduled payments to cover the total cost of the services, which may include elements such as the funeral ceremony, burial or cremation, and related costs.
Payment plans can be offered by funeral homes, financial institutions, or specialized financing companies and are designed to make managing funeral costs more manageable and less burdensome.
What Is Funeral Home Financing?
Funeral home financing is a payment arrangement offered by funeral homes to help families manage the costs of funeral services. This type of financing allows you to spread out payments over time rather than paying the entire amount upfront. Here’s how it generally works:
▶️ Payment Plans
Many funeral homes provide payment plans that let you pay for funeral expenses in installments over several months or years, helping to fit the cost into your budget.
▶️ In-House Financing
Some funeral homes offer financing directly through their services, meaning they handle the financing themselves. This can be a convenient option if traditional financing is not available.
▶️ Flexible Terms
The terms of funeral home financing vary. Funeral homes may offer different repayment schedules and interest rates based on your financial situation and the total cost of the funeral.
▶️ Application Process
To apply for financing, you typically need to complete an application with the funeral home, provide financial details, and agree to the terms of the payment plan. Funeral home financing often does not require a credit check, making it accessible even for those with less-than-perfect credit.
| Did You Know? FEMA will continue to offer funeral assistance throughout 2025 for those who have lost loved ones due to COVID-19. |
Funeral Financing Companies
When exploring financing options, it's important to understand the various offerings available from different companies. Below is a comparison of five notable lenders, highlighting their descriptions, industries they cater to, approval processes, and credit check requirements. This overview will help you navigate your choices and find the best financing solution for your needs.
| Company | Description | Industries Catered To | Approval Process | Credit Checks |
|---|---|---|---|---|
| LendingUSA | Provides personal credit with flexible terms and fast approval. | General, including funeral expenses | Online application with quick approval; funds often available fast. | Credit check required |
| Denefits | Offers payment solutions tailored to businesses for customer financing. | Primarily businesses and service providers | Quick approval process | No credit check required |
| LightStream | Offers personal loans with low rates and flexible terms, known for quick funding. | General; personal expenses and home improvements | Online application with fast approval and funding; requires good credit. | Credit check required |
| SoFi | Provides personal loans, student loans, and financial products with competitive rates. | Personal finance, student loans, home loans | Online application with approval typically within days; a comprehensive review. | Credit check required |
| OneMain Financial | Provides personal loans with flexible terms and the option for secured loans. | General; personal loans, including debt consolidation | In-person or online application with quick approval; personal loan options available. | Credit check required |
This table provides a snapshot of each company's offerings, processes, and other relevant details to help compare their financing options.
Denefits Funeral Payment Plans
| 100K+ Users | 70+ Industries supported | 95% Approval rate |
|---|
Denefits stands out as a compassionate leader in providing flexible payment plans, offering a lifeline when traditional options fall short of covering funeral expenses. In such difficult times, Denefits offers a beacon of hope with its supportive approach to funeral payment plans and funeral financing.
◾ Quick and Easy Approval
Denefits understands the urgency of the situation and often provides approval faster and more easily than traditional financing options, ensuring you can access the funds you need when you need them most.
◾ No Credit Check Requirements
In times of emotional and financial stress, Denefits offers a compassionate approach by not requiring credit checks. This means that even if your credit isn’t perfect, you can still receive the support necessary for honoring your loved one.
◾ Flexible Payment Options
Recognizing that each person’s situation is unique, Denefits provides a range of payment plans designed to fit different budgets and preferences, allowing you to manage costs with greater ease and comfort.
Comparing Funeral Payment Plans vs Funeral Loans: Key Differences and Considerations
This table helps compare the features and considerations of funeral payment plans versus funeral loans, highlighting the benefits and limitations of each option.
| Aspect | Funeral Payment Plans | Funeral Loans |
|---|---|---|
| Description | Payment plans are offered directly by funeral homes or service providers, allowing for flexible payments. | Loans specifically designed to cover funeral expenses, are usually provided by banks or financial institutions. |
| Approval Process | Typically involves simpler application through the funeral provider; approval is often faster. | Requires a formal loan application process with approval based on creditworthiness and financial assessment. |
| Credit Check | Often does not require a credit check, making it accessible to those with less-than-perfect credit. | Usually involves a credit check, which can affect approval based on credit score and history. |
| Repayment Terms | Flexible terms set by the funeral provider; can be customized to fit the customer's budget. | Terms are set by the lender and may include fixed or variable rates with specific repayment periods. |
| Interest Rates | Interest rates, if any, are determined by the funeral provider and may be lower or negotiable. | Interest rates are set by the lender and depend on credit score and loan terms, potentially higher. |
| Funding Speed | Funds are applied directly to the funeral services, and payment plans are managed through the provider. | Funds are disbursed as a lump sum, which must be managed and paid back according to the loan terms. |
| Prepayment Options | May offer options for early repayment without penalties, but this varies by provider. | Prepayment options depend on the lender; some may charge fees for early repayment. |
Grants for Funeral Costs
Grants for funeral costs can help ease the financial burden of laying a loved one to rest. Here’s what you need to know:
➡️ Government Grants
◾ Social Security Administration’s Burial Benefits:
The SSA provides burial benefits to eligible individuals who have received Social Security benefits before their death. This financial aid is designed to help with funeral and burial expenses.
◾ State-Specific Assistance Programs:
Many states offer their own programs to assist with funeral costs. These programs vary by state and may provide direct financial aid or refunds for specific funeral expenses. Eligibility requirements often include demonstrating financial need or meeting certain criteria.
➡️ Non-Profit Organizations
◾ Charities and Foundations:
Numerous non-profit organizations are dedicated to helping families with funeral expenses. These organizations may offer grants for veterans, low-income families, or individuals facing severe medical conditions. Each organization has its own application process and eligibility criteria, often focusing on providing financial relief to those in genuine need.
◾ Specialized Funds:
Some non-profits maintain specialized funds to assist with funeral costs. For instance, organizations may have funds set up for victims of specific incidents or individuals in particular circumstances, such as children or those affected by tragic events.
➡️ Religious and Community Groups
◾ Local Religious Institutions:
Many churches, mosques, and other religious organizations offer financial assistance for funeral expenses. They may provide direct grants, loans, or other forms of support to members of their congregation or community. These funds are available to help members during difficult times and may be based on need or affiliation.
◾ Community Organizations:
Local community groups and associations often have resources or emergency funds to assist with funeral costs. These organizations might offer support through grants or direct financial aid to those who are part of their community or meet specific criteria.
These grants and support programs are designed to alleviate the financial burden of funeral expenses, assisting those who may otherwise struggle with the costs during an already challenging time.
Conclusion
Facing the financial aspects of a funeral while dealing with loss can be a heavy burden. Exploring available financing options can provide relief and ensure you can give your loved one a respectful farewell without added stress. There are various ways to manage funeral expenses from payment plans and personal loans to grants and specialized programs.
Denefits stands out as a compassionate choice for funeral financing, offering quick approval and flexible payment options without a credit check. With a high approval rate and tailored plans, Denefits makes it easier to handle the financial side of this challenging time, allowing you to focus on what truly matters—honoring your loved one’s memory.
If you’re looking for a straightforward and empathetic way to handle funeral costs, consider reaching out to Denefits today. Let them help you through this difficult time with their tailored financing solutions.
FAQs
1. Can I Get a Funeral Loan with Bad Credit?
Yes, it is possible to obtain a funeral loan with bad credit. Denefits offers a compassionate solution by providing funeral financing opportunities even if your credit isn’t perfect. Moreover, funeral financing with Denefits typically does not require a credit check, making it easier for you to access the financial support you need during such challenging times. Exploring options with Denefits can help you manage funeral expenses without the added stress of credit constraints.
2. What Is Funeral Financing Assistance?
Funeral financing assistance encompasses different types of financial help designed to cover funeral expenses. This support can come in the form of grants, loans, or payment plans offered by government agencies, charitable organizations, community groups, and other entities.
3. How to Get a Loan for a Funeral?
Here’s a look at some common methods for securing a loan to cover funeral costs.
→ Personal Loans: Many banks and credit unions offer personal loans that can be used for funeral expenses. Check with your local financial institutions to compare rates and terms.
→ Funeral Loans: Some lenders specialize in providing loans specifically for funeral costs. These can be obtained from dedicated funeral financing companies.
→ In-House Financing: Some funeral homes offer in-house financing options, allowing you to pay for services over time directly through the provider.
4. How to Pay for a Funeral with No Money?
If you don’t have enough money to pay and honor your loved one, consider procuring financing through Denefits. It offers funeral financing payment plans to customers with low credit scores. What’s more? It has no credit check policy and a high approval rate (95%) for the majority of its customers.
