Choosing a Credit Card

Standards Covered:

• • Standard 2: Integrated Learning: “Students will demonstrate how academic knowledge and skills are applied in the workplace and other settings.”

  • Standard 3a: Universal Foundation Skills: “Students will demonstrate the master of the foundation skills and competencies essential for success in the workplace.”

Objectives:

• • Students will interpret the policies of different credit cards and choose one effectively

  • Students will understand how to calculate loan payments & realize the true costs of loans and credit

Materials:

• • Credit Card/Loan Worksheet

  • Computers w/Internet and Projector

  • Reading from homework

Procedure:

• • Hook: As students walk in the room, give each one of six “college student” financial scenarios asking for advice. Have the students work in groups to come up with the best course of action for this student. (5 minutes)

  • Discussion from homework reading. Ensure each student recognizes that college is a feasible option for all students, regardless of their financial background. Provide information concerning financial resources available for students (financial aid, scholarships, subsidized vs. unsubsidized loans, etc.). Provide actual college financial aid & tuition information from local colleges, both public and private. Brainstorm some tactics for how to manage a job and college at the same time. Provide a few realistic budgets for college students, and have the students practice percentages to determine what part of each week’s income goes to what aspect of spending. Provide additional resources for information. (10 minutes)

  • Credit Card & Loans activity: provides students with real applicable scenarios that will be relative to them in the upcoming years as they apply for credit cards (and purchase cars, etc.). Turn it into a web search activity while providing some useful websites. Example: What are the differences between two different credit cards? How will that affect your choice of which credit card to sign up for? Assist students as necessary. (22 minutes)

  • Discuss the results of the Credit Card & Loans activity, and help students as necessary (5 minutes)

  • Closing: Distribute “Creating a College Budget You Can Stick To” and provide instructions for what to highlight, and to have each student create a list of possible expenses for college students. (3 minutes)

Homework: Read “Creating a College Budget You Can Stick To” and have students highlight important pieces of advice and create a list of possible expenses for college students.

Evaluation: The completion of homework and participation in the classroom discussions will be assessed, in addition to the completion of the credit card and loans activity which will be collected. The loan activity measures their ability to compute loans and pull data out from internet sources, in addition to critically analyzing credit card information.