5 ms·
The point is to be able to come up with $2,000 without taking drastic action. The $400 example in the article was being able to come up with $400 without sellin
by pwthornton 11y ago
The point is to be able to come up with $2,000 without taking drastic action. The $400 example in the article was being able to come up with $400 without selling stuff or taking out a payday loan.
I could sell my house and come up with tons of money. That doesn't count. I can also just pay an unexpected $2,000 expense (like my $3,000 unexpected tax bill) out of savings.
The point is that a lot of Americans don't have liquid assets they can use in the case of a minor emergency.
- true_religion 11y agoThey don't have cash. They do have liquid assets. Anyone who owns a car has a liquid asset... they just don't think of it as such because they "need" it.
- CamTin 11y agoHow fast do you think I can get a fair price for my 97 Sable? Fast enough to cover an "emergency" expense? Cars aren't very liquid. You can sell them to a huckster with a lot in the shady part of town for 1/3 of what you could get by putting an ad on Craigslist and waiting a few weeks. If you don't have a few weeks, this is a problem.