This article is general information, not financial advice. Please verify terms with your bank/NBFC before acting.
Aim for 3–6 months; start with 1 month and scale up.
An emergency fund prevents crises from turning into debt. Park it in liquid, safe avenues you can access quickly.
Automate a monthly transfer, use windfalls, and replenish after any withdrawal.
- Keep it separate from spending accounts.
- Split across savings and liquid funds for access + modest returns.
- Review annually as expenses change.