Working The Debt Snowball With A Line Of Credit As Emergency Fund?
Tim isn't worried about emergencies because of his line of credit...but should he be?
ANSWER: Do you really think it’s a good idea to go into debt in the middle of an emergency? A line of credit is not a good emergency fund. You should have cash available – 3-6months worth of expenses. Then pay your house off and invest in real estate. You’ve got to do this in the right order.