4.1 Intro to Credit

Reflect on a time where you borrowed from or lent money to someone.

1. Who did the loan involve?

2. What was the agreement for repayment?

3. Did the agreement work out the way you anticipated?

4. Were both people happy at the end?

1. Your friends and you notice a neighbor who always has brand new clothes, shoes, and electronics. What would you need to know in order to tell if this neighbor is actually wealthy?

2. There’s not one target net worth value that is universally considered to be “rich” or “wealthy.” But right now, Sanya’s net worth is $12,000. Her goal is to have a net worth of at least $100,000 before she turns 35.

   a. Explain one way that using credit could help Sanya achieve her goal.

   b.  Explain one way that using credit could hurt Sanya’s progress.