emergency fund 1. Stay current on all your loans — always. 2. Pay off loans with higher interest rates faster. 3. Each month, challenge yourself to pay more than you did the month before. Little bits add up for big impact. Chip away at that principal. Which is an appropriate reason to tap your emergency fund? A. BFF Jessica called and Nordstrom has a sale on Kate Spade purses. B. Your roommate needs money to visit the man of her dreams in D.C. C. Your car is leaking oil. The auto repair guy says the rear main is toast. You need that car for work. D. The airlines have launched a fare war — half off tickets to Cancun. answers: a & d are wrong. use other money for these — not the emergency fund. b. have your roommate call her folks instead. they love this kind of stuff. c. yeah, we’ll accept this. most dads would, too.