People who've worked hard to save sometimes put an emergency on a credit card rather than touch their fund. That defeats the purpose.
When you use it
- Use it for real emergencies without second-guessing
- Take out only what you need
- Keep receipts so you know how much to rebuild
- Look at your budget: are there costs you can pause while you rebuild?
Remember
An emergency fund that gets used is a success story. It kept a surprise from becoming debt.
General educational information, not financial advice. Penny Vaults isn't paid by any bank or lender.