VIDEO:
Loan Basics: Principal, Interest & Time

Perhaps you’ve casually lent or borrowed money from a friend before. But more formal loan arrangements come with far more terms you must understand to get a fair deal. Watch this video and follow your teacher's directions to answer the questions either in your student activity packet or within the EdPuzzle itself.

PLAY:
Credit Musical Chairs 

SUMMARY

The objective is to reinforce student learning about three classifications of credit: installment loans vs revolving credit, secured vs unsecured debt, and variable vs fixed rate.
Directions:

Directions to the Credit Musical Chairs

• Direct students to stand in a circle around the outside of the seats.

• Review the first three slides which give 3 common ways for classifying types of credit.

• Explain the directions to students: Each round will start with a slide telling them a Classification (like “Installment” or “Variable Rate”). Students will move clockwise around the circle. Music will pause and revealed will be the Type of Credit on the slide. If the Classification and Type of Credit on the slide match, students should sit down as quickly as possible.

• When music starts again, students start moving around the circle in a clockwise direction.

• Put up the first game slide, which instructs students to “Sit down if… Installment”

• Students should SIT if the Type of Credit revealed matches the Classification.

• Students should remain STANDING if the Type of Credit revealed does NOT match the Classification.

• Students are “out” of the round in two possible ways:

• If students were supposed to SIT, any student left without a seat or who chooses not to sit is out and leaves the game.

• If students were supposed to remain standing, any students who mistakenly sit are out and leave the game.

• In preparation for the next round, remove one or more chairs from the circle so that there are fewer chairs than there are remaining students.

• Repeat steps D through I until you have one winner remaining.

INFOGRAPHIC:
What is my net worth? 

Many people think that being wealthy means you have a lot of stuff; however, it turns out that what you own is only part of the equation for determining your net worth. Review this infographic to see how wealth or net worth (often used as synonyms) is calculated. Then answer the questions.