Should You Save or Pay Off Debt? Here’s How UMe Can Help U Decide!
UMe Credit Union helps you navigate the smart way to balance saving and debt repayment.
We know managing your money can be a bit of a juggling act—deciding between saving up or knocking out that debt can feel overwhelming. But you’ve got UMe on your team! As Burbank’s best resource for financial education, we’re here to help you make smart moves with your money.
Why Both Matter: The Balancing Act
Think of saving and paying off debt like balancing two sides of a scale. Saving gives you a safety net for those “just in case” moments, while paying down debt frees up future cash and reduces stress. So, where should you start?
When to Focus on Saving
If you don’t have an emergency fund (or a “Life Happens Fund” as we like to call it), start there. It’s crucial to have some cash stashed away for life’s surprises—car repairs, unexpected medical bills, or even those impromptu weekend getaways! Aim for at least $500 to start, then work your way up to a few months’ worth of expenses.
When to Tackle Debt First
Got high-interest debt like credit cards? Tackling that should be a top priority! High-interest rates can pile on more debt fast, so paying it down can save you lots in the long run. Plus, imagine the freedom of not having those monthly payments hanging over your head—total win!
How UMe Can Help
Whether you’re looking to boost your savings or pay down debt, UMe is here to help you crush those goals. We are real people who really care about helping U make the best financial decisions—because when you win, we all win. (And we love a win-win!) From personalized advice to awesome savings options and debt management tools, we’re your go-to team.
Ready to take control of your finances? Let’s chat! Visit us in Burbank or give us a call or email. We’re always here for U, and we’re all about helping you live your best (and financially smart) life!
Disclaimer: U matter to Me (to all of us) at UMe — and that’s why we do our best to deliver helpful information on our blog. Please note the following: (1) UMe Credit Union works hard to make certain that the information we post here is as accurate as humanly possible. But as you know, information can change and evolve quickly. While we try to update the blog on a regular basis, the content of some older posts may not be correct or up-to-date. (2) Some destinations on the World Wide Web that we link you to will exist on external websites. UMe Credit Union does not officially endorse any connected sites, nor do/did we compensate or get compensated by any entities to be featured in our posts (unless otherwise noted). (3) Everyone’s situation is unique and we advise you to consult with our personal bankers or your finance, tax, or legal professional for advice individualized to you!