You're not wrong about it being more complicated, but we're also talking about an emergency. Getting $500 from a savings account in an emergency even if you're at monthly transaction limit is going to cost you maybe $10 in fees. The premise is "can't cover a $500 emergency," not "has $500 sitting in a non-interest bearing checking account."
FYI: Federal Regulation D's requirements were removed in 2020. Banks aren't required to limit monthly "convenience transactions" anymore. Though plenty of them still pretend it's required so they can charge fees.
brokerage account liquidations come with a massive loss
Where'd you pull that out of? They come with some tax consequences of course but where are these "massive losses" coming from? Are you counting decades of future earnings against them? If you are, leaving the $500 in checking was already a "massive loss."
I'm not trying to say people are in great financial shape. But going from that kind of question surveyed to this kind of headline would be dishonest. The honest researched would ask something like, "could you deal with a $500 emergency without incurring debt."
You're not wrong about it being more complicated, but we're also talking about an emergency. Getting $500 from a savings account in an emergency even if you're at monthly transaction limit is going to cost you maybe $10 in fees. The premise is "can't cover a $500 emergency," not "has $500 sitting in a non-interest bearing checking account."
FYI: Federal Regulation D's requirements were removed in 2020. Banks aren't required to limit monthly "convenience transactions" anymore. Though plenty of them still pretend it's required so they can charge fees.
brokerage account liquidations come with a massive loss
Where'd you pull that out of? They come with some tax consequences of course but where are these "massive losses" coming from? Are you counting decades of future earnings against them? If you are, leaving the $500 in checking was already a "massive loss."
I'm not trying to say people are in great financial shape. But going from that kind of question surveyed to this kind of headline would be dishonest.
You're not wrong about it being more complicated, but we're also talking about an emergency. Getting $500 from a savings account in an emergency even if you're at monthly transaction limit is going to cost you maybe $10 in fees. The premise is "can't cover a $500 emergency," not "has $500 sitting in a non-interest bearing checking account."
FYI: Federal Regulation D's requirements were removed in 2020. Banks aren't required to limit monthly "convenience transactions" anymore. Though plenty of them still pretend it's required so they can charge fees.
brokerage account liquidations come with a massive loss
Where'd you pull that out of? They come with some tax consequences of course but where are these "massive losses" coming from? Are you counting decades of future earnings against them? If you are, leaving the $500 in checking was already a "massive loss."
I'm not trying to say people are in great financial shape. But going from the that kind of question surveyed to the headline is dishonest.