Loan For Funeral Expenses?

First off, the Funeral Consumers Alliance, a nonprofit consumer advocacy organization, does not recommend taking out a loan to finance a funeral, due to the high interest rates these loans often come with. 

That said, the average cost of a funeral was $7,360 in 2017, according to the National Funeral Directors Association. It’s a staggering amount of money for most people, but especially those in the midst of grieving a loved one and perhaps navigating financial uncertainty elsewhere. If a funeral cannot be paid for out of pocket or with life insurance, then surviving family members might find themselves looking at personal loans as a measure of last resort. 

We agree that personal loans should be an absolute last resort when facing funeral costs, but if you believe they are necessary for your circumstances, you should at least request loan estimates from multiple lenders to get a rate and terms that will cause as little additional hardship down the line as possible.