Why is Good Credit Important?
Learn about the importance of your credit history.
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Lessons & Activities
31-45 min
The Cost of Credit
OVERVIEW
In this lesson, students begin by exploring the connection between credit and debt. After examining types of credit, peer-to-peer lending and high-cost credit, students analyze credit scenarios and determine which they would choose and why. The lesson concludes with understanding the language of loans such as annual percentage rate, finance charge, principal and prepayment penalty.
Related Resources
INFOGRAPHICS & COMICS
VIDEO Q&A
0-15 MIN
College Choice 101: For-profit, Nonprofit, and Your College Options
Examine the costs and benefits of various post-secondary education options.
MODULES
16-30 MIN
Credit Reports | It's Your Paycheck Lesson 6
Learn and discuss the advantages and disadvantages of using credit.
READING Q&A
16-30 MIN
Credit Bureaus: The Record Keepers
Introduce credit bureaus.
LESSONS & ACTIVITIES
1 HOUR+
The Car Deal Package
Evaluate the decisions students make when purchasing a car.
LESSONS & ACTIVITIES
1 HOUR+
Bankruptcy Basics
Learn about the two types of bankruptcies used by consumers: Chapter 7 and 13.
More in This Series
LESSONS & ACTIVITIES
1 HOUR+
The Balance Sheet
Distinguish between wealth-building assets and depreciating assets.
LESSONS & ACTIVITIES
1 HOUR+
Developing a Budget
Practice using SMART goals and marginal decision making.
LESSONS & ACTIVITIES
1 HOUR+
Put It in the Bank
Compare different ways of saving money.
LESSONS & ACTIVITIES
1 HOUR+
Owning Versus Renting
Students will compare owning to renting a place to live.
LESSONS & ACTIVITIES
1 HOUR+
The Role of Financial Markets
Learn how the financial system creates a place to match savers with investors.
LESSONS & ACTIVITIES
1 HOUR+
Bonds, Stocks and Mutual Funds
Learn about the different types of investments.
LESSONS & ACTIVITIES
1 HOUR+
Risk and Return
Understand the relationship between risk and return.
LESSONS & ACTIVITIES
1 HOUR+
Understanding Credit Reports & Scores
Understand the components of a credit score.
