The Nigeria of today is clearly a case of what we ordered versus what we got. It seems like there’s always a tiny reminder of security consciousness and emergency funds screaming at us in beeps at different points in time. This has made us develop an inherent metamorphic adaptation to having emergency funds handy because you never can tell when you’ll need it.
Most of us know what emergency funds are, but for those who don’t; It’s fine, we’ll tell you – it is a financial reserve that can be used to pay for unexpected expenses or to help you weather a financial crisis.
Unfortunately, as heightened as most Nigerians’ financial awareness level is, it is not always easy to build such a fund. This is why Havvest, the leading digital smart savings platform in Nigeria, is here to help you understand the importance of having an emergency fund and how to build one in Nigeria.
Why Do You Need an Emergency Funds Account
Having an emergency fund set aside specifically for these types of situations will give you the security and flexibility to handle them quickly and efficiently while still maintaining your budget.
When we eventually decide it’s time to use these funds, our stress levels stays low because we are no longer confronted with the prospects of unexpected expenses that weren’t planned for. This results in reduced anxiety and increased peace of mind knowing that, in the event that anything unexpected occurs, you will be able to pay it without incurring debt or taking out loans if you have some extra cash on hand.
Setting Up an Emergency Fund in Nigeria
An emergency fund isn’t anticipated, therefore one of the easiest motivations for saving money is the consciousness of emergency situations. This is usually done to create a financial cushion in case of an unexpected event – like a medical emergency, a job loss, or a significant drop in income.
Building an emergency fund in Nigeria is a bit different from building one in other countries due to our unique economic and political environment. This is because inflation rates are higher, currency fluctuations can be extreme, and access to banking services may not always be reliable or even available.
Additionally, the amount of money that Nigerians can transfer at any given moment is also now subject to transaction limitations. That’s why Havvest is pleased to offer an easy, reliable way for Nigerians to save money and build an emergency fund without the hassles that come with normal banking.
Benefits of Having Emergency Funds
One of the best benefits of having emergency funds is – building an emergency fund gives us freedom; freedom from feeling trapped due to a lack of resources when things get tough and freedom from relying solely on friends or loans which often come with irregularities.
Another great benefit of having an emergency fund is stability in our lives. We all love the idea of being stable simply because it allows us to focus on other goals like investing in real estate rather than worrying about where the next paycheck will come from should something go wrong.
Ultimately, since most people don’t want their savings account tied directly to their checking account (which could lead them down a path of overspending), setting up separate accounts allows them greater control over their finances while still providing security against any potential disasters they might face along the way.
Setting Up an Emergency Fund Account with Havvest
Havvest is a secure platform that helps you take control of your finances and build your emergency fund in three simple steps.
- Set up a recurring deposit plan to make sure you’re saving regularly.
- Activate the automatic smart saving feature by linking your bank account to your Havvest savings account.
- Finally, generate a secure savings goal to keep you on track.
This way, you can save money each month and build up your emergency fund over time.
At Havvest, we understand the importance of saving money and having an emergency fund, so we make it easy and secure to do both. With our digital savings platform, you can easily set up a recurring deposit plan, link your bank account, and generate a secure savings goal. This way, you can save money each month and build up your emergency fund in Nigeria.
In conclusion – establishing an emergency fund isn’t just smart planning but also provides invaluable peace of mind no matter what life throws at you! So start putting away those naira notes today – who knows when they’ll come in handy tomorrow?!
