Most Americans Don’t Have Savings For A $1,000 Emergency

January 19, 2018

Did you know that the average money emergency costs at least $2,500? Very few have that kind of money laying around, let alone $1,000 stashed away in an emergency fund.

Bankrate did a survey and found that only 39% of people had $1,000 to cover an emergency such as a trip to the emergency room or a car repair bill. Even scarier is a report from the Federal Reserve,whichfound 44% of Americans couldn’t even cover a $400 emergency expense out of pocket.

If unable to cover the emergency with savings, 19% say they’d cover the cost with a credit card, while 12% would borrow from friends or family.