Savings vs. debt for short-term gap-stopping
March 19, 2014 10:59 AM Subscribe
If a person is flat broke for a relatively short period of time (<10 days) but some expenses are unavoidable during that time,* is it better to raid a savings account or to use a credit card to pay for the expenses? Assume that the interest rate on the credit card is shamefully high, and that the savings account is very modest (<$500) but nonetheless a good morale booster and safety blanket.
posted by magdalemon to Work & Money (28 answers total)
But which is best to avoid--gutting a savings account, or getting back into credit card debt after a decade of clawing out of it?
*And that selling things, borrowing from family, getting a second job, negotiating interest rates, etc. are not options.