00:00I took the loan out to fund my emergency fund.
00:03Where is this emergency fund today?
00:05I saw about $1,000 in savings, which, by the way, dropped from $2,500.
00:09I spent some of it.
00:11On what emergency?
00:12Learning how to do hair extensions.
00:15That's an emergency?
00:17I wouldn't say it's an emergency.
00:18What do you think an emergency fund is for?
00:20I took the money out of the emergency fund to buy a class for extensions.
00:23The interest rate on this is 28.64%.
00:26Yes.
00:29Okay, so originally it wasn't for the emergency fund.
00:31I just thought that that would be a good idea.
00:33What, 28.64%?
00:35Just to have an emergency fund going.
00:37Oh, it is great.
00:38I didn't like that.
00:38At 20, at 30%?
00:41Yeah, that's not great.
00:42But I didn't want to not have an emergency fund.
00:46I didn't want you to not have an emergency fund either.
00:48But this is debt that you are owing and you are losing more money on it than it's sitting in there.
00:54In this case, you would literally be losing money on a monthly basis in order to pay this off.
00:59That's not an emergency fund.
01:00It's just an IOU at a loss.
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