An emergency fund is some money kept aside to be used in case of any emergency. In this episode, we will understand the importance of keeping an emergency fund with you at all times.
An emergency fund can help us in many ways. By having ready money available, it avoids us taking more debt in order to pay for some urgent needs.
An emergency fund must never be used for fulfilling a want and if you do not know the difference between a need and a want, see this video