Every individual dreams of achieving financial stability, it is a goal that might take a lifetime to achieve but regardless we drive towards it. While walking the journey of financial stability, there are other kind of funds we must also prepare for. They say, life is what happens when we are busy planning other things. Life is filled with lot of challenges and finance related issues tops the chart, one of the best ways to ensure these challenges don't take us by surprise is by setting up an emergency funds.
For most people, an emergency fund is just a regular saving but technically it is not. Though it involves saving but its purpose is far different, for regular kind of savings, we tend to have in mind what we are saving for but for emergency funds, it is the kind of funds that are kept aside to fund unforseen circumstances. No one can tell when some issues will come knocking, setting up an emergency fund saves a person from any form of financial restraint that might come with the challenges.
We now live in a world with lot of fintech applications at our disposal, it is a lot easier to save money digitally. Gone are those days when we have to put our funds in the hands of friends or colleagues for safe keeping, we all know what might happen to funds kept in that manner. Instead of indulging in such old practice, we have all manner of banking apps that will save us from such hassle.
I remember during my industrial training days, I was lucky enough to be involved in all kind of jobs with good income. Saving will always be an habit of mine, one of the few apps I trusted to save my emergency funds was an app called piggyvest. The kind of rules that exist within this app to help people cultivate a saving habit, is not funny at all. My favourite of it all was a feature called "Safe lock" this feature allows you to lock up your funds for specific range of time and you instantly get an upfront interest. I did it in those days, though I might not have done it if I was knowledgeable about the crypto space like I'm right now.
But then it helped safe keep my funds for a specific reason, which is for my higher national diploma program. I knew how tough a student life can be, so locked the fund, timing it till the exact time I was going for the program. Truth be told, by the time I was about to embark on the program, I wasn't as financially stable as I was before but thanks to the numerous funds I had set aside, I was able to afford lot of expenses that comes with being a student. One thing I have learnt about money is that tomorrow is not guaranteed, so it is better to spend wisely today and prepare for days ahead.
This write-up was inspired by Indiaunited contest titled "What is your plan for an emergency fund" in indiaunited community.
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