1. L EARNING, E ARNING, AND I NVESTING FOR A N EW G ENERATION © C OUNCIL FOR E CONOMIC E DUCATION, N EW Y ORK, NY C REDIT : Y OUR B EST F RIEND OR Y OUR W ORST E NEMY ?

2. L EARNING, E ARNING, AND I NVESTING FOR A N EW G ENERATION © C OUNCIL FOR E CONOMIC E DUCATION, N EW Y ORK, NY QUESTION OF THE DAY Why is it important to make sure that you have the money to pay for something before you buy it?

3. L EARNING, E ARNING, AND I NVESTING FOR A N EW G ENERATION © C OUNCIL FOR E CONOMIC E DUCATION, N EW Y ORK, NY Today’s Objectives Content: You will identify and calculate credit risks Language: You will listen and take notes

4. L EARNING, E ARNING, AND I NVESTING FOR A N EW G ENERATION © C OUNCIL FOR E CONOMIC E DUCATION, N EW Y ORK, NY Credit Definitions Credit The ability to obtain goods and services before paying for them, based on a promise to pay later. Individuals who use credit are borrowing money. Revolving credit Credit that is available up to a limit and automatically renewed as debts are paid off or paid down. People who use revolving credit often make partial payments on their unpaid balances at regular intervals. Credit-card accounts offer revolving credit to credit-card users. L ESSON 12 – C REDIT : Y OUR B EST F RIEND OR Y OUR W ORST E NEMY ? S LIDE 12.1

5. L EARNING, E ARNING, AND I NVESTING FOR A N EW G ENERATION © C OUNCIL FOR E CONOMIC E DUCATION, N EW Y ORK, NY Clip http://www.educationcents.org/Course- Catalog/Credit.aspx http://www.educationcents.org/Course- Catalog/Credit.aspx

6. L EARNING, E ARNING, AND I NVESTING FOR A N EW G ENERATION © C OUNCIL FOR E CONOMIC E DUCATION, N EW Y ORK, NY Video clip http://www.youtube.com/watch?v=SAf8_rwauN4 From the Federal Reserve Bank of Philadelphia 15 minutes