WorksheetsGood Loan | Bad Loan
Total questions: 10
Worksheet time: 5mins
What is interest?
When you like someone
The extra money you pay back someone for a loan
Money you charge for an item that someone is particularly keen on
How much interest are you charged on a student loan?
0%
1.5%
5%
When do you have to repay a Student Loan?
As soon as you get a job
When you start earning over a certain amount
When you can afford to pay 12% of your earnings
What should you ask yourself before taking out a loan?
Is it the cheapest deal?
Should I save and wait until I have the money?
How long will it take to pay it back?
What is a mortgage?
An agreement between a person and a lender e.g. a bank over property.
Money that buys a house
Interest rates that apply to house sales and overseas buyers
What is the average deposit lenders will ask for when applying for a mortgage?
5%
20%
10-15%
What is the biggest benefit of taking out a mortgage?
You don't have to pay rent
You will have something that can be used as security when getting other loans
Once it is paid off you will own something of high value (an asset)
When buying a car the best place to get a loan is with...
The bank
A finance company
The car dealer
What is the average interest rate from a finance company?
15%
17-27%
12-20%
When is the best time to buy a new home?
When interest rates are very low
When you have children
When you have saved enough money for the deposit
