Part 4/8:
The elimination of major debts has freed up resources for savings. With no immediate fear of credit card debt looming over him, Joey reveals he has built his emergency fund to $10,000, aided by a previous focus on settling debts. He recognizes the necessity to maintain a solid emergency fund and expresses his resolve to achieve this goal efficiently by allocating funds purposefully.
Despite this impressive progress, Joey still faces the challenge of student loan debt currently estimated at $8,000, scheduled to begin repayment the following year. Fortunately, he maintains a manageable interest rate of 3.3%, allowing him to prioritize this debt within the context of a broader financial strategy.