ECONOMICS
INSURANCE
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Question
[CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
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emergency savings
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homeowners insurance
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insurance
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claim
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Detailed explanation-1: -What is an emergency fund? An emergency fund is a cash reserve that’s specifically set aside for unplanned expenses or financial emergencies. Some common examples include car repairs, home repairs, medical bills, or a loss of income.
Detailed explanation-2: -How much should you save? While the size of your emergency fund will vary depending on your lifestyle, monthly costs, income, and dependents, the rule of thumb is to put away at least three to six months’ worth of expenses.
Detailed explanation-3: -Online savings account or money market deposit account These accounts may have different names, but they’re both well-suited for your emergency fund. In addition to insurance coverage from the FDIC or National Credit Union Association, these accounts offer the most competitive interest rates on savings products.
Detailed explanation-4: -Housing. Food. Health care (including insurance). Utilities. Transportation. Personal expenses. Debt.
Detailed explanation-5: -Make a budget and see where you can start saving more money. Determine your emergency fund goal. Set up a direct deposit. Gradually increase your savings. Save unexpected income. Keep saving after reaching your goal. Use a bank account bonus to jumpstart your savings. 13-Dec-2022