T
5
c/budgeting-winspat540pat54014d agoProlific Poster

Question about paying off a credit card versus building an emergency fund

My brother-in-law told me he keeps a $5,000 balance on his card while he saves cash, because 'cash is king in a real emergency.' I've always been taught to pay off debt first, but his point about needing ready money for a sudden car repair or job loss hit different. Which approach do you think is smarter for someone just starting to get their finances in order?
2 comments

Log in to join the discussion

Log In
2 Comments
wadepalmer
wadepalmer14d ago
What's the interest rate on that card?
1
angela_wilson78
Right? Those rates are brutal.
1