I need your help. I want to build my emergency fund. Some friends told me to keep the money in a bank account so that I can use it anytime. Others suggested creating a fixed deposit (FD). Some people advised against investing in an FD and recommended investing in an ultra-short-term fund instead.
Please help me decide which option is best for me.
If I need this money for a medical emergency, how can I redeem it instantly if I invest in a short-term liquid mutual fund?
Is there any liquid mutual funds with instant redemption facilities?