Building an Emergency Fund Questions

Front

What is an emergency fund?

Back

A cash reserve for unplanned expenses or financial emergencies

Front

Why do you need an emergency fund?

Back

To protect against financial shocks and avoid debt

Front

What is one strategy to build an emergency fund?

Back

Create a savings habit

Front

What is a key principle to creating a savings habit?

Back

Set a goal

Front

How can you manage your cash flow to save money?

Back

Track your income and expenses

Front

What is one way to make saving automatic?

Back

Set up recurring transfers through your bank

Front

Where should you keep your emergency fund?

Back

In a bank or credit union account

Front

What is a prepaid card?

Back

A card you can load money onto, not connected to a bank

Front

When should you use your emergency fund?

Back

For unplanned expenses or financial emergencies

Front

What is a common example of an unplanned expense? Options: Car repairs, Monthly rent, Grocery shopping, Gym membership

Back

Car repairs