In this lesson, students are introduced to the basic concepts of credit and credit scores. The components of a credit report are described and credit monitoring is explained. Students learn how a credit score is determined and the importance of building a maintaining a high credit score is emphasized. Strategies are offered on how to build and improve credit scores. Specific examples are provided that show the financial cost of poor credit when obtaining a loan. The unit concludes with a review of credit counseling scams and how to avoid them.Because the Budget Challenge is a real-world real-time simulation a hypothetical credit score is not generated for students since a major factor in determining a credit score is the length of credit history. Instead, the Budget Challenge provides students with a dashboard to monitor their success in accomplishing tasks that would improve their credit score.
Before you leave class today you will learn about:
- Credit Score Basics (CW5.1)
- Credit Reporting Agencies (CW5.2)
- Credit Score Strategy (CW5.3)
- Credit (CW5.4)
- Credit Scams (CW5.5)
- Log in to your Budget Challenge account
- From your Dashboard under Written Tests click VIEW DETAILS and next to (CW5) BUILDING CREDIT click UNIT MATERIAL
- READ EVERYTHING & WATCH ALL THE VIDEOS!! TODAY IS A LEARNING DAY!!
- Once you feel like you know everything there is to know from the Unit Materials, take the quiz–you do not have to do this today!!