Credit Cards Adult Living. Advantages of using credit It’s convenient. You don’t have to carry large amounts of cash and you don’t have to go through.

Slides:

Advertisements

Similar presentations

Teens lesson seven credit presentation slides 04/09.

Advertisements

Banking, Borrowing & Credit More On Managing Your Income.

CREDIT Chapter 16.

Credit. Lending Institutions Banks Mortgage Companies Finance Companies Credit Unions Insurance Companies Brokerage Companies U. S. Government Check Advance.

Using Credit Chapter 25, pgs

Section 2- Getting Started with Credit CHAPTER 7.

Understanding Loans and Borrowing Money. Development of Credit  In the Past  Credit Today.

What is credit?. VOCAB TO KNOW! Credit : trust given to another person for future payment of a loan, credit card balance, etc Creditor : A person or company.

Charge It Right 1. 2 Introduction Instructor and student introductions. Module overview.

Teens 2 lesson seven understanding credit presentation slides 04/09.

CREDIT. ADVANTAGES OF CREDIT advantages: o Able to buy needed items now o Don’t have to carry cash o Creates a record of purchases o More convenient than.

CALM.  Able to buy needed items now and pay later.  Don’t have to carry cash  Creates a record of purchases  More convenient than writing cheques.

Teens 2 lesson seven understanding credit presentation slides 04/09.

Unit 4 - Good Debt, Bad Debt: Using Credit Wisely PG 73.

Personal Finance Chapter 16

CREDIT NOTES Credit is buy now pay later. The opportunity Cost is future income! Credit can be a great tool and can be necessary but can lead to financial.

PERSONAL FINANCE IVERSON Revolving Credit. Credit Cards Credit Cards allow you to borrow money from a bank each time you use your card so that you can.

Credit Intro to Credit & Establishing Good Credit.

Dealing the Cards of Credit Credit cards No set time to be paid back May pay in full, part, or minimum payment No finance charge if bill paid in full.

Credit: Helpful or Hurtful. Fact or Fiction Q. Using credit can lead to serious problems. A. True.

Consumer Credit Chapter 11.

Unit 3 Payment, Interest Rates, & Credit Cards

Learning About Credit Advantages and Disadvantages.

Credit Receiving something now and promising payment at a later time. Principle: Actual cost of the good or service. Interest: Amount paid for the use.

Chapter 25 The Basics of Credit.

CREDIT: Day 2. Types of Credit Credit Cards Loans.

USING CREDIT. Managing Money & Credit: A Lifelong Skill.

Chapter 16 Credit in America

CREDIT – Part 2 Business Issues. Credit Cards Paid over a variable amount of time Finance charge (interest) is called annual percentage rate (APR) expressed.

The Basics of Credit Objective: To explain the concept of consumer credit, including major types and their benefits/drawbacks.

Credit & Debit Cards Personal Finance Mrs. Brewer.

Credit Credit is a sum of money a person can use for a period of time before having to reimburse the lender.

Advantages of using credit cards Ability to use item while paying for it No need to carry cash Use of card builds credit history Quick source of funds.

Credit BELL RINGER  What is credit?  Does credit cost?  What are the advantages of using credit?  What happens if I misuse credit?

Credit. What is credit? Borrowing $ to use today, with the promise to repay in the future.

CREDIT CARDS What to know and understand before you obtain one…

© Take Charge Today – August 2013 – Understanding Credit Cards – Slide 1 Funded by a grant from Take Charge America, Inc. to the Norton School of Family.

CREDIT VOCABULARY.  Credit = a promise to pay in the future for an item you purchase today.  Finance charge = the cost of using credit. This is usually.

Credit Pros and Cons Unit 1 Lesson 4. Introduction Credit use carries an important responsibility. Credit use carries an important responsibility. When.

Charge It Right 1. 2 Purpose Charge It Right will teach you about credit cards and how to use them responsibly.

Credit. What is it? – the ability of a customer to buy goods or services before paying for them, based on an agreement to pay later. Always investigate.

CREDIT CARDS. Advantage/Disadvantages Your Credit Worthiness The 5 ‘Cs’ Capacity Character Credit History Capital Collateral The 5 ‘Cs’ Capacity Character.

Chapter © 2010 South-Western, Cengage Learning Credit in America Credit: What and Why Types and Sources of Credit 16.

College lesson four about credit.

© SOUTH-WESTERN EDUCATIONAL PUBLISHING LESSON 16.1 UNIT 6 WHAT IS CREDIT? DESCRIBE HOW CREDIT DEVELOPED IN AMERICA. DEFINE BASIC CREDIT VOCABULARY. DISCUSS.

Credit and Debt. Answer the following on paper. 1. What do people use credit cards for? 2. Should high school students be given credit cards? Why or why.

Jeopardy Begins with c Loans Poor credit Consumer Credit consumer Finance Q $100 Q $200 Q $300 Q $400 Q $500 Q $100 Q $200 Q $300 Q $400 Q $500 Final.

Teens Credit- Day 3 Independent Living December 2, /09.

Grade 12 Family Studies.  Do you have a credit card?  What is it used for?  How is it like a loan?

Credit – You’re in Charge.  Credit – the ability to borrow money in return for a promise of future payment. ◦ Credit has the opposite trade-off as saving.

Lesson 7-2 Getting Started with Credit Learning Objectives: - Compare the sources of credit - List and explain the benefits of credit.

Credit Questions to Consider  What is credit?  Does credit cost?  What are the advantages of using credit?  What happens if I misuse credit?

Credit. credit is money loaned in exchange for your promise to pay it back later with interest. interest is a amount of money paid to use someone else’s.

Credit Questions to Consider  What is credit?  Does credit cost?  What are the advantages of using credit?  What happens if I misuse credit?

Teens lesson seven credit presentation slides 04/09.

Credit: “confidence in a purchaser's ability and intention to pay, displayed by entrusting the buyer with goods or services without immediate payment.”

Credit Cards are a part of most American’s lives, but if you don’t know how to use them, they can really make your life more difficult Credit cards don’t.

Using Credit Wisely. Credit  Credit is a sum of money a person can use before having to reimburse the credit lender.  It allows a person to receive.

Credit Card Basics. What is a Credit Card? credit card A credit card, such as Visa or MasterCard, allow you to pay for products or services by borrowing.

Credit Test Review. What card takes money directly from your checking or savings account?  Debit Card.

HOW TO CHOOSE A CREDIT CARD. CHARGE IT! Using credit cards to pay for goods and services is a fact of life for most consumers. Yet, many consumers do.

Advanced Level CREDIT BASICS G1 © Take Charge Today – August 2013– Credit Basics – Slide 2 Funded by a grant from Take Charge America, Inc. to.

CREDIT: BUY NOW, PAY LATER. It’s important for all of us to establish good credit. 28% of students with a credit card don’t repay the entire balance off.

What is Credit? Buy now, pay later Loans:PersonalMortgages StudentDebt consolidation AutoCredit Cards BusinessCash Advances.

III. Credit and Credit Cards

Lesson seven credit presentation slides.

Personal Financial Literacy: Personal Debt

Presentation transcript:

Credit Cards Adult Living

Advantages of using credit It’s convenient. You don’t have to carry large amounts of cash and you don’t have to go through the process of writing a check You can use goods and services before or as you pay for them. You can buy costly items that you might not be able to buy with the amount of cash available. It usually simplifies exchanges, returns, and telephone/ internet orders.

Disadvantages of using credit You reduce your future income. Using credit usually costs money. The more credit you use and the more time you take to repay, the more you must pay in finance charges. You may be tempted to overspend because of impulse buying. Failure to pay promptly could result in a poor credit rating.

Vocabulary Credit Score/ record- a record kept of all your credit habits. Compiled into an overall score, given by 3 companies, effects future credit. Fees- annual fee, balance transfer fee, cash advance fee, minimum payment fee Interest- the money paid to borrow money

Tips for using Credit 1.Know your rights. ($50 by law-stolen) 2.Avoid finance charges by paying off balances. 3.Know your credit limit (ask for a set amount) 4.Keep accurate and complete records of your credit purchases.

More credit card tips… 5.Protect your credit rating by paying promptly. 6.Interest rates for credit vary. Shop around for the best deal. 7.Notify creditors without delay if your credit card is lost or stolen or if you can not pay as agreed.

How to build a GOOD credit history Establish a steady work record. Pay all bill promptly Open a checking account and don’t bounce checks. Open a savings account and make regular deposits Apply for a local store credit card and make regular monthly payments. Apply for a small loan using your savings account as collateral. Get a co-signer on a loan and pay back the loan as agreed.

Types of Credit Close-ended credit: a one time purchase of something, when you make the last payment, you own it. Examples: car, house, furniture Open-ended credit (revolving): a credit card at a store, gas station, major credit card Examples: visa, MasterCard, stores

Where do you get credit? Banks-loans, credit cards Stores- credit cards, financing plans Online- credit card offers Finance store- check into cash, payday loans (very high interest)

How is interest calculated? APR- annual percentage rate APR= 2 (M) (F) P(N+1) M= # of payments in a year F= finance charge P= amount financed (borrowed) N= total number of payments