Purchase Strategies
Comparing the cost of two or more goods or services in an effort to find the best value
Cost Comparison
This right protects consumers from products that endanger life or safety
Right to safety
This tax pays for services like roads, public schools, and libraries
Federal and State income tax
What happens to the purchasing power of a dollar over time
Decreases
This type of loan/credit is used to pay for everyday items in person, over the phone, or online
Borrowed from credit card companies or financial institution
Credit Cards
Analyzing whether the cost of an item is more than, equal to, or less than the benefit that comes from purchasing that item
Cost-Benefit Analysis
This consumer right protects people from dishonest advertising or labeling
Right to be informed
This is the payment BEFORE taxes are taken out of a paycheck
Gross Income
This financial institution is owned by investors and can be found across the nation
Banks
This type of loan/credit pays for large items such as cars and homes
Borrowed from financial institutions or loan companies
Cash Loan
Identifying the cost of meeting future needs and goals
Calculating Future Expenses
This consumer responsibility entails taking care of and not stealing products from the store
Being fair and honest
This tax helps pay for retirement costs of other people
Social Security
Savings Account that earns interest on money deposited for a certain amount of time
Non-liquid
Certificate of Deposit (CD)
What are the 5 factors that lead to credit-worthiness or a high credit score?
Payment History (Paying bills on time)
Amount owed to current creditors
Credit history
Type of credit used
Number of open accounts
A plan for future spending and saving, weighing estimated income against estimated expenses
Budget
This consumer right allows customers to have wrong corrected quickly and fairly from the business
Right to redress
This optional deduction is a retirement savings account
401(k)
This is an account you can open at the bank that earns interest
Liquid
Bank Savings Account
What happens if we pay our credit bills late or overdraft?
Interest rates grow on the amount owed, making the bill increase $$$
Credit Score decreases
Go into debt
Lenders are less likely to loan money for big purchases
Brenda must decide if she would rather buy the $100 leggings at Lulu Lemon for the brand clout or buy a pair at Amazon with similar quality for $25.
This is an example of which purchase strategy?
Cost-Benefit Analysis
This responsibility entails making sure the price is correct and the change that the cashier gives is accurate
Attentiveness to sales transactions
This is the payment AFTER taxes are taken out of a paycheck
Net Income
This financial institution is owned by the members, has higher interest rates on savings accounts, but you must live local to it to receive in-person services like loans and opening accounts
Credit Unions
What are examples of good debt
(paying bills on time for)
House payment
Car Payment
College Tuition