Financial Responsibility and Money Management
Responsible personal finance decisions are based upon reliable information and used to reach personal goals.
15. Different payment methods have advantages and disadvantages.
Effective purchasing requires an understanding of the advantages and disadvantages of payment options.
Credit cards offer convenience in shopping, but interest rates on periodic balances will make purchases more expensive.
Individuals can set up different kinds of credit accounts with firms (i.e., regular, revolving, installment). All offer advantages and disadvantages.
Different types of loans are offered by financial institutions. There are advantages and disadvantages for these as well (e.g., single payment, installment)
Maintaining a system of financial recordkeeping will help inform financial decision making in the long run.
There are different ways of paying fixed, variable and periodic bills to maintain financial stability (e.g., cash, check, credit, debit, electronic).
Expectations for Learning
Evaluate the advantages and disadvantages of different payment methods.