I keep my emergency fund money just in my savings account at my bank, but I’ve been thinking about stashing it somewhere else. Savvy Sugar had a good article about the pros and cons of different ways to keep it. Read the original article here.
Under the mattress. You always have access to this money, but the con is that you aren’t earning any interest on this. I don’t do this. I don’t like having cash on me because I am extremely paranoid about someone stealing from me. I’m crazy though.
Checking account. Easy access but no interest.
Money market account. A pro is that they carry higher interest rates than at your banks everyday account, but a con is that it might be a little more difficult to get quickly.
Savings accounts. It is easy to transfer money from your bank’s checking account to your savings account, so it is easy to access and can gain a little interest. However, the interest rate is usually not too high.
Where/how do you keep your EF?