Savings account vs. Money Market

Where to stash your cash now

This article would be scary if I had my meager savings sitting in a money market fund. A money market fund is not the same as a savings account and could lose money. That has not happened yet but it could. I think that a lot of people are going to reassess where they put their emergency fund after reading this reprint of a Fortune magazine article on the Money/CNN website.

Fortunately, mine is in savings and a CD. Right now I have just over $4,000 in my emergency fund which is lower than my 2007 year end goal. I need to get with the program and start stashing away some cash. In the first several months of this year I have paid off almost all of my credit card debt and made a few large purchases, a bike and a laptop. Now it is time to buckle down.