(By Kelly McDonald, Jr) A troubling report was recently released about emergency savings in the United States. One-third of US consumers would not be able to come up with $2,000 in the event of an emergency. The study was released as part of the New York Fed’s survey of consumer expectations.
The study also found that credit score had a significant impact on those who had emergency funds verses those that did not. As an example, 64% those with a credit score of 680 or below would have difficulty finding funds in a bad situation. Those with fluctuating incomes were also less likely to have such funds. Furthermore, people have felt discouraged from taking out new credit. We can only hope that an uptick in the economy and better education about savings can help this situation.