The importance of having an emergency fund
“An emergency fund is a key component of a solid financial plan. It’s a savings account that is set aside specifically for unexpected expenses, such as a car repair or a medical emergency. Having an emergency fund can help you weather financial storms and avoid going into debt when unexpected expenses arise. But many people don’t have an emergency fund, or they have one that is insufficient to cover their needs. This can be a serious mistake, as the lack of an emergency fund can set you back financially in a number of ways.”
