Very few people seem to have substantial emergency funds built up and I do not think that this should be the case. One of the reasons why the funds in question are utilized is because of instances that seem to come up out of nowhere. This could be anything from an injury in the family to a matter of debt that has to be paid off as soon as possible. Whatever the case may be, Bobby Jain may be able to tell you about 3 of the most important reasons why emergency funds are utilized.

1. If you have been let go from your job, it is important to maintain a strong financial stature no matter what. Bobby Jain will tell you that emergency funds can be brought into effect for this purpose but what does this entail, you may wonder? In order to maintain a reasonably comfortable lifestyle, the absolute minimum that you should have, in regards to funds, should be worth three months. Authorities the likes of Jain can tell you that this is a safe amount to have until you get back on your feet.

2. Is it possible that your car will suddenly stop working out of nowhere? It’s not unlikely to believe that this can happen, especially since every automobile has to come to the end of its rope at some time or another. As a result, an emergency fund has to be built up so that a new car can be purchased. Chances are that a better car will be sought after, so if there is more money to be seen here, it is likelier that a better automobile can be attained.

3. When an individual suffers an injury, it goes without saying he or she will have to focus on medical bills. These can be quite weighty, depending on the injury in question and the services used, and they require funding as a result. With this in mind, shouldn’t it go without saying that emergency funds can be brought into effect? Not only will be able to pay off a good portion of your medical bills, at least, but you can rest easier knowing that you’ll remain financially solvent.

It goes without saying that there are many other ways in which emergency funds can be used but I felt like these were the most important. They are times when you do not expect emergencies to come about; no one can accurately judge when or where these circumstances can unfold. However, the ability to build a nest egg over the course of time will ensure that you remain financially stable. It will take time but the effort that is taken will be more than worth it.

For additional details about Bobby Jain, contact Bob Jain Credit Suisse today!