We’ve all been there in some fashion: having to put a big unexpected expense on the credit card because we didn’t have an emergency fund.
You go in for your state inspection and you find out that your car needs new tires.
You wake up one morning to find out the toilet in your guest bathroom fell through the ceiling and is now in your living room. (This actually happened to my parents’ place at the Jersey shore. Luckily, they weren’t there at the time and a contractor let them know).
Your little one gets sick and you have a high deductible. You take him to the emergency room and thank God he’s alright. But, hooray! We have more bills to pay! Emergency room visits aren’t cheap.
The point is life happens. Expenses sneak up on you here and there.
If you’re like many people out there, you’re likely not prepared for them.
So, what do you do? You put them on your credit card. That’s what everybody does, right? Not exactly. The Credit Card Catastrophe might be a reality for those in your inner circle, but there are actually people out there who are prepared for life’s emergencies.