Updated Mar 12, 2021 | 06:19 IST When a financial emergency arises suddenly, one would have to take a loan or borrow from family or friends, which could be embarrassing at times. Representational image New Delhi: It is indispensable to have an emergency fund as bad times never come giving prior notice. The one that we witnessed last year when the Covid-19 pandemic broke out and due to the subsequent lockdowns imposed, many lost their jobs. This has made us understand the importance of an emergency fund. Having an emergency fund ensures that you don't have to ask for others' help during an emergency like hospitalisation, job loss or a pandemic-like situation. Financial planners suggest building an emergency fund, to meet such eventualities.