Emergency funds are necessary from "summary" of Know Your Money by
Imagine this scenario: you wake up one morning and find that your car won't start. You call a mechanic, only to be told that the repairs will cost you a substantial amount of money. What do you do? If you have an emergency fund, you can breathe a little easier knowing that you have the funds to cover unexpected expenses like this. Emergency funds are like a safety net for your finances. They act as a buffer between you and financial disaster. Without an emergency fund, you may find yourself relying on credit cards or loans to cover unexpected expenses, which can lead to a cycle of debt that is difficult to break. Having an emergency fund is not just a good financial practice—it's a necessity. Life is full of uncertainties, and you never know when an unexpected expense will come your way. Whether it's a medical emerge...
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