Intro to Borrowing
Overview
Borrowing is an important part of a happy and successful life—imagine buying a home, a car, or paying for college without it. Some people get into big trouble when they borrow money, but you don’t have to. With some planning, you can make good borrowing decisions that won’t cause you problems.
Which of the following is NOT one of the 5 Cs?
Capacity
Conditions
Character
Certificate
Which of these is NOT one of the basics of a loan?
The title
The timeframe
The principal
The interest rate
How do you make good borrowing decisions?
Borrow for a specific purpose
Borrow only as much as you need
Understand the terms of the loan you take out
All of the above
Which of the following is a good reason to borrow money?
New living room furniture
A reliable car
A new TV
That vacation you’ve always wanted