Debate: Should you pay off debt or save your emergency fund first?

I was at a coffee shop in Portland last month and overheard two friends arguing about this. One said she put $5,000 toward her credit card instead of building savings, and the other said that's a disaster waiting to happen. Now I'm stuck because my own budget has $300 left each month after bills, and I can't decide which way to go. What's your take on this, especially if you've been in the same spot?

2 comments

2 Comments

miles79828d ago

Heard a buddy say that credit card debt was "an emergency" itself before.

thomas_brown28d ago

Question whether it's really that serious though... having no savings at all means one car repair or medical bill and you're right back in the same hole with interest on top.

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