Comments on: 5 Accounts, #3 – Emergency Fund http://hitherto.net/2007/08/17/5-accounts-3-emergency-fund/ A continuing work in progress Sat, 03 Mar 2012 15:34:29 +0000 hourly 1 http://wordpress.org/?v=3.4-beta4-20825 By: BenJ http://hitherto.net/2007/08/17/5-accounts-3-emergency-fund/comment-page-1/#comment-28070 BenJ Fri, 17 Aug 2007 22:57:41 +0000 http://hitherto.net/2007/08/17/5-accounts-3-emergency-fund/#comment-28070 I've used ING for 6 years or so as my savings/emergency account. I've got my direct deposit set up to put a portion of each paycheck into three accounts: one personal checking, one joint/household (rent, household bills) checking, and the rest goes into the ING Savings account. Handy! My financial adviser gave me another tip on keeping emergency money around, and that is: it's far better to invest your money for higher return than keep too much of it accessible in a low-yield account for the unlikely "emergency" scenario. A credit card can typically tide you over while you move money out of a mutual fund, etc. (Of course this requires the responsibility to actually MOVE the money out and pay off the credit card ASAP.) I’ve used ING for 6 years or so as my savings/emergency account. I’ve got my direct deposit set up to put a portion of each paycheck into three accounts: one personal checking, one joint/household (rent, household bills) checking, and the rest goes into the ING Savings account.

Handy!

My financial adviser gave me another tip on keeping emergency money around, and that is: it’s far better to invest your money for higher return than keep too much of it accessible in a low-yield account for the unlikely “emergency” scenario. A credit card can typically tide you over while you move money out of a mutual fund, etc. (Of course this requires the responsibility to actually MOVE the money out and pay off the credit card ASAP.)

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