Consumer advisor Clark Howard recommends keeping a small amount of cash at home for emergencies when electronic payments may not be available.
Howard suggests that having enough cash on hand for three days of spending can be crucial in situations where banking or credit card networks are down, such as during a natural disaster or a cyberattack.
“I want to have a supply of plain old cash hidden somewhere in your home,” Howard advises, emphasizing the importance of being prepared for unexpected disruptions.
Howard explains that while many people save money for typical emergencies like car repairs or home maintenance, it is also important to prepare for more unusual events that could disrupt electronic payment systems.
He highlights scenarios such as foreign actors shutting down banking networks or natural disasters that could necessitate the use of cash for transactions.
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