3. Build an emergency fund.
According to a February Bankrate survey, 21 percent of 18 to 29 year olds have more credit card debt than they have in their emergency fund. This is problematic because emergencies do happen. If you don’t have any money saved up and get into an accident or need emergency service done on your car, your inability to pay those bills could wreck havoc on your credit.
How: Each time you get paid, set aside a certain amount or percentage of your paycheck and put it into a fund that’s only used in emergencies. Over time, you should be able to build a healthy rainy day fund that could make things easier if a crisis hits. A little self-restraint now could save you a whole lot of stress in the future.
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