Year 9

What are the implications of borrowing money?

Year 9

What are the implications of borrowing money?

Lesson details

Key learning points

  1. In this lesson, we will consider what borrowing is and how it can be used to help us manage money well both within our personal lives and in wider society. We will explore the different kinds of borrowing available including loans, overdrafts and credit, and what each is used for. We will also learn about interest rates and the implications of short, medium and long term borrowing in relation to a range of situations.

Licence

This content is made available by Oak National Academy Limited and its partners and licensed under Oak’s terms & conditions (Collection 1), except where otherwise stated.

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5 Questions

Q1.
When was the first credit card invented?
1940
Correct answer: 1950
1960
1970
Q2.
Which type of payment takes money directly from your bank account?
Cash
Credit
Correct answer: Debit
Q3.
What is affordability?
Correct answer: Calculating if you have enough to be able to pay for goods or services.
Money which is owed.
Money which is paid out for goods or services.
Q4.
What colour is the suitcase which holds the government budget?
Blue
Green
Orange
Correct answer: Red
Q5.
Who is in charge of the treasury?
Pirates.
Correct answer: The chancellor of the exchequer.
The education secretary.
The prime minister.

5 Questions

Q1.
What does this describe: "Being given something with the understanding you would giving it back"
Correct answer: Borrowing
Gifting
Theft
Q2.
What is a credit card?
Correct answer: A card which has a limited amount which can be spent and paid back.
An amount lent for a long period of time (over a year) at a low interest rate.
Non-profit organisation offering low interest borrowing.
Spending above what is available in a debit account.
Q3.
Is projected borrowing for the UK going to be higher or lower this year?
Correct answer: Higher
Lower
Q4.
Finish this advice on spending; "If it's too good to be true then..."
...it always is.
...it never is.
Correct answer: ...it probably is.
Q5.
Which type of lending is illegal?
Credit Card
Correct answer: Loan Shark
Payday Loan
Short Term Loan