Where do you keep your emergency fund?

[josht]

And don't forget the 90% commission for the agent the first year and 6%/year every year after that. So that 6.52% "growth" rate is more like 0% or worse when you factor in the commission.

It is amazing that anybody, even the people selling it, actually believe this crap.

Blind leading the blind...

[josht]

Ok let's put this question out there.

Would you rather buy something with cash or get a loan?

The question is, what is the best way to make a purchase...

[disneysteve]

Ok let's put this question out there.

Would you rather buy something with cash or get a loan?

The question is, what is the best way to make a purchase...

What does that have to do with where to keep your emergency fund?

Okay, I'd rather buy something with cash. What's your point?

[Petunia 100]

What does that have to do with where to keep your emergency fund?

Okay, I'd rather buy something with cash. What's your point?

I smell a "bank on yourself" pitch next.

[kork13]

Thanks. Goodbye, josht. Please don't come back.

[disneysteve]

Thanks. Goodbye, josht. Please don't come back.

I think certain trolls need to be fed because there are a lot of people out there who fall for the sales pitches and marketing BS. If we can educate them and keep even one person from buying a whole life policy, it's worth it.

[kork13]

I think certain trolls need to be fed because there are a lot of people out there who fall for the sales pitches and marketing BS. If we can educate them and keep even one person from buying a whole life policy, it's worth it.

True enough. I guess it's simply that the lunacy of blind salesmanship is just bewildering and terribly frustrating to me. Sometimes I have terribly little patience for ignorance/stupidity...

[disneysteve]

Sometimes I have terribly little patience for ignorance/stupidity...

But it can be so much fun to taunt them and actually call them on it. They can never actually explain their position because what they are selling never ever makes sense.

[ua_guy]

Well, THAT escalated quickly.

I think there's a differentiation in the original context of the thread between:
1. Disaster fund
2. Emergency fund.

Some people on here live where disaster can strike with high probability (floods, tornados, hurricanes). In that case, it's well worth keeping "disaster" money within reach of the property bounds in case you have to barter for food/water/supplies, etc while services are down. It can also be used as a "get out of Dodge" fund if you are able to vacate and get to where there are services. Plan on at least a few tanks of gas, some meals on the road, and a contingency plan if you get stuck.

This is money you'd put in a safe, bury under the house, or keep somewhere where YOU know it's going to be, and nobody else. Point is, you can't get money out of an ATM if it's under 10 feet of water.

The more popular "emergency fund" is for emergencies of the mostly non-emergent kind. For example, your vehicle breaks down and leaves you with a $1500 tow and repair bill. Instead of putting this on credit, you are equipped to pay cash for it. Or a pipe breaks in your house and you need a thousand bucks for plumbing services. Or, your kid breaks a leg and you're stuck with an unruly copay and co-insurance, or maybe even self-pay at the Emergency Room (although there are better vehicles for saving money for healthcare).

Money market, savings accounts, short-term investments. Think "less than 30 days" to liquidate and make the payment for whatever the emergency "bill" is, even if it involves putting it on a credit card and paying it off before the grace period ends (before interest is charged).