1. Do Now: I just graduated from college and have four credit cards with balances totaling $5,000. I can barely make the minimum payments each month. What should I do? Tuesday Oct. 29, 2013

2.  Credit- arrangement to receive cash, goods, or services now and payback in future  Creditor- person or place lending you the money  Lender- same as creditor  Installment credit-allows people to pay for expensive items with equal payments spread out over time

3. As you read this textbook section, consider the following:  What is consumer credit?  What is installment credit?  What are some factors to consider before using credit? ◦ Do you have the cash you need for the down payment? ◦ Do you want to use your savings instead of credit? ◦ Can you afford the item? ◦ Could you use credit in some better way? ◦ Could you put off buying the item for awhile? ◦ What are the costs of using credit?

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