[Nords]

Quote:

Originally Posted by Celany I dunno about that. to me, it would depend on the interest rate of the CCs, plus, the knowledge that, once that Roth money is gone, it's gone.

My point is that it's all too easy to whip out the plastic or a checkbook to handle an "emergency" that's really just a temporary crisis. ("You call that 'resort attire'?!? You better believe this is an emergency-- a fashion emergency!!") The money's just too accessible.

Having to sit down at a computer to vampire a Roth, or having to fill out the paperwork for the distribution request, will cause people to re-evaluate just what sort of emergency they think they're facing. It might not seem like such a crisis after all, and that's one benefit of using a harder-to-tap asset for an emergency fund.