September falls in the middle of the Atlantic Hurricane Season on the Gulf Coats and happens to be is National Preparedness Month. That makes now a great time to talk about how to disaster-proof your money.
Let’s start by recognizing that the very first step in disaster-proofing is having adequate insurance coverage.
Beyond that, access to cash is of paramount importance.
When disaster strikes, having cash or easy access to credit can be the difference between a quick recovery and a long slow grind back to normalcy.
After you check your insurance coverage, make your evacuation plan, and put your emergency supply kit together, you can turn your attention to your emergency cash access plan.
Emergency Fund
Every household that can afford to set cash aside, should. A common rule of thumb is to keep no less than three months of living expenses in cash in a savings account. Depending on your circumstances, you might want to keep more cash on hand.
A savings account with cash in it is a must-have and a key step in your emergency cash access plan.
Home Equity Line of Credit
If you are a homeowner and have equity in your home, a good tool to have in your toolkit is a Home Equity Line of Credit (HELOC for short). Think of a HELOC like a credit card that is backed by the equity in your home.
You can draw on this credit as needed, and it doesn’t cost anything if you don’t use it.
Because this line of credit is secured by an asset, the interest rate you would pay is likely to be lower than what you would pay on a credit card.
HELOCs also typically have flexible repayment terms.
Securities-Based Lending
Like your home, your investments can be a source of funding if needed. I’m not talking about selling your investments. I’m talking about borrowing against them.
Some firms offer their clients Securities-Based Lending where clients may borrow money using their investments as collateral. 
As with a HELOC, your interest rate may be more favorable than those offered by credit cards, repayment terms are likely to be flexible, and if never used, the line of credit typically costs nothing.
Unsecured Line of Credit
If you are early on in your wealth building journey, a HELOC or Securities-Based Lending may not be available to you.
But, if you have good credit, you might be eligible for an Unsecured Line of Credit. Not every bank offers unsecured lines of credit but those that do will ask you to complete a relatively robust application where you disclose in detail your assets and earnings.
Because of this enhanced application process, the interest rate on this kind of credit will tend to be lower than those available from credit cards. But, because it is unsecured, the interest rate will likely be higher than for a HELOC or Securities-Based Lending.
As with a HELOC and Securities-Based Lending, you will likely pay nothing unless you use your Unsecured Line of Credit.
Credit Cards
Finally, we come to credit cards. Credit cards are a quick, easy way for most consumers to access purchasing power. They are also a quick, easy way for consumers to build a mountain of debt. 
Of all the lending options outlined in this article, credit cards will typically be the costliest. According to Forbes.com, as of May 2025 the average credit card interest rate on account balances is 22.25%. Compare that to the average interest rate of 8.27% for Home Equity Lines of Credit and you can see why credit cards are dead last on this list.
Does that mean you should never use credit cards? No.
It does mean that you should use them sparingly and possibly in combination with other emergency liquidity tools outlined in this article.
When what can go wrong does, having cash, or access to cash, gives you options. Having options is a key part of disaster-proofing your money.
If the idea of building an emergency cash access plan feels intimidating, talk to your Financial Advisor. Your Financial Advisor is here to help you build, protect, and enjoy your wealth.
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