Saving for the Unexpected

A solid emergency fund is perhaps one of the most important tools in developing and sustaining financial security. It is recommended to save six months of living expenses because no matter how well things are going, or well you plan, financial challenges will arise from time to time.

According to a 2017 Federal Reserve report (You will be leaving NCUA.gov and accessing a non-NCUA website. We encourage you to read the NCUA's exit link policies. (opens new page).) , when faced with a hypothetical emergency expense of only $400, 4 in 10 adults stated they were unable to cover such an expense. While saving is not always easy, especially for the millions of Americans living below the poverty line, here are some reasons to start saving:

  1. You could experience a natural disaster like a hurricane, tornado, or wildfire that damages your property or causes you to be out of work for an extended period.
  2. You could become ill and find yourself unable to work.
  3. Your car may break down or need to be replaced.
  4. Someone close to you may require care.
  5. Life is full of unexpected emergencies and expenses. Having emergency savings gives you a buffer to handle them.
First aid kit with money coming out of the case

Planning for the Unexpected

Disasters don’t plan ahead, but you can!  Make a plan for yourself, family and friends.

  1. When Disasters Strike, Get Informed!

  2. Preparing for an Emergency. Are you Ready?

    Prepare yourself and your family for a disaster by making an emergency plan.

    Tips to Prepare for an Emergency

    1. Have an emergency plan (You will be leaving NCUA.gov and accessing a non-NCUA website. We encourage you to read the NCUA's exit link policies. (opens new page).) . Be sure to discuss it with your family so that everyone knows what to do. Write the plan down and keep it some place that is easily accessible.

      Here are a few things you can do now to prepare:
      • Store important documents such as birth certificates, social security cards, deeds, insurance, and banking information in a secure and waterproof place. Also, always keep copies that are easily accessible.
      • Know your credit union and/or bank account numbers. Also, ask your financial institution(s) if they have an emergency plan for account holders.
      • Know your insurance information. Familiarize yourself with your insurance policy, account number, terms, and insurance company contact information. Also, consider purchasing flood insurance if you are in an area often impacted by water-related disasters.
      • Build emergency savings. It’s recommended that you save for at least 3-6 months of net income for unexpected emergencies. While this isn’t always possible for everyone, having something put away for the unexpected can prove invaluable.
      • Don’t forget to include a list of medications for you and your family, as well as essential items for your pets when you build your emergency plan.
    2. Download the FEMA App (You will be leaving NCUA.gov and accessing a non-NCUA website. We encourage you to read the NCUA's exit link policies. (opens new page).) to access disaster preparedness tips and look for open Disaster Recovery Centers along with open shelters (if you're a disaster survivor). Also, stay informed with the FEMA blog (You will be leaving NCUA.gov and accessing a non-NCUA website. We encourage you to read the NCUA's exit link policies. (opens new page).) .
    3. Use your cell phone’s text messaging capability to receive text message updates from FEMA.
      Text PREPARE to 43362 (4FEMA) to receive monthly preparedness tips.

    In addition, your emergency planning should also consider the care of pets (You will be leaving NCUA.gov and accessing a non-NCUA website. We encourage you to read the NCUA's exit link policies. (opens new page).) , aiding family members with access and functional needs (You will be leaving NCUA.gov and accessing a non-NCUA website. We encourage you to read the NCUA's exit link policies. (opens new page).) , and safely shutting off utilities (You will be leaving NCUA.gov and accessing a non-NCUA website. We encourage you to read the NCUA's exit link policies. (opens new page).) .

    For more information, visit FEMA’s Ready.gov (You will be leaving NCUA.gov and accessing a non-NCUA website. We encourage you to read the NCUA's exit link policies. (opens new page).) and check out the CFPB’s guide for dealing with disasters and emergencies (You will be leaving NCUA.gov and accessing a non-NCUA website. We encourage you to read the NCUA's exit link policies. (opens new page).) .

  3. Disaster Recovery Assistance

    Are you a Disaster Survivor?
    Disaster Assistance is often available from your credit union or bank (You will be leaving NCUA.gov and accessing a non-NCUA website. We encourage you to read the NCUA's exit link policies. (opens new page).) . You may also qualify for federal assistance (You will be leaving NCUA.gov and accessing a non-NCUA website. We encourage you to read the NCUA's exit link policies. (opens new page).) .

    The Disaster Assistance Improvement Program’s (DAIP)
    The DAIP’s mission is to provide disaster survivors with information, support, services and a means to access and apply for disaster assistance through joint data-sharing efforts between federal, tribal, state, local and private sector partners.

    Apply for Assistance After a Disaster
    DisasterAssistance.gov allows you to:

    You can even read the latest disaster news feeds (You will be leaving NCUA.gov and accessing a non-NCUA website. We encourage you to read the NCUA's exit link policies. (opens new page).) , find other recovery help (You will be leaving NCUA.gov and accessing a non-NCUA website. We encourage you to read the NCUA's exit link policies. (opens new page).) , and learn how to move forward (You will be leaving NCUA.gov and accessing a non-NCUA website. We encourage you to read the NCUA's exit link policies. (opens new page).) .

    Disaster Assistance by Phone

    • Call 800.621.3362
    • TTY 800.462.7585

    Helpful Information on Applying (You will be leaving NCUA.gov and accessing a non-NCUA website. We encourage you to read the NCUA's exit link policies. (opens new page).)
    State Disaster Pages (You will be leaving NCUA.gov and accessing a non-NCUA website. We encourage you to read the NCUA's exit link policies. (opens new page).)
    Disaster Recovery Tips (You will be leaving NCUA.gov and accessing a non-NCUA website. We encourage you to read the NCUA's exit link policies. (opens new page).)

    FEMA offers individual assistance (You will be leaving NCUA.gov and accessing a non-NCUA website. We encourage you to read the NCUA's exit link policies. (opens new page).) and information on federal disaster declarations (You will be leaving NCUA.gov and accessing a non-NCUA website. We encourage you to read the NCUA's exit link policies. (opens new page).) .

  4. BEWARE: Frauds and Scams after a Disaster

    Consumers are often targets of scams after a disaster. Knowledge is power when it comes to fraud prevention. Learn about the most common types of scams and how to protect your finances with information from the NCUA Fraud Prevention Center.

    Disaster Fraud Hotline (U.S. Department of Justice)
    866.720.5721

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