Identification should include
- using planning and savings to avoid debt
- identifying debt-to-income ratios
- evaluating choices involving debt
- identifying the consequences of making poor credit decisions
- maintaining a record-keeping system for credit purchases
- ensuring safekeeping of credit cards
- avoiding late-payment and other penalties
- examining debt payment plans
- recognizing warning signs for potential debt or credit issues.
Process/Skill Questions:
Thinking
- What skills and strategies can you develop now that will help you avoid debt?
- What is a budget? How does adhering to that budget help avoid fees and penalties?
- What are the factors to consider when deciding whether to make a purchase or wait?
Communication
- Why is debt often a source of family stress and conflict?
- Where do you acquire your beliefs and attitudes toward debt?
- What difficulties might family members have if they do not share the same beliefs and values concerning debt?
Leadership
- What are the advantages and disadvantages of cash, check, debit card, and credit card as a way to purchase goods and services?
- What ethical roles do businesses play, if any, in encouraging consumers to accrue large debts through extensive use of credit cards? Why or why not?
- What are some effective ways to teach children about debt?
Management
- What guidelines should be put in a budget to help control debt?
- What information is needed to set short- and long-term financial goals?
- What are the possible consequences of going deeply into debt?
Teacher Resources: