Q4 Opening Questions & Exit Tickets

John is trying to calculate the net price of a school that he just got a financial aid offer from. Which of the following formulas is correct?

(Sticker Price) - (Grants + Scholarships)

Having a great credit score will make it easier to get into better educational institutions.

False

Your friends are having a debate about "rules of thumb" to use when it comes to student loan debt. Who is correct?

Jason says, "You should generally limit your borrowing to what you can expect to earn as a starting salary when you graduate from college, and avoid private student loans."

Which fact supports the idea that renting is a good option for living in a place for a short period of time?

Landlords take care of most maintenance.

Which example shows an advantage of owning a car over leasing one?

No restrictions on the number of miles to drive and the ability to customize or make changes to the car.

Which is a positive reason for using a credit card to finance purchases?

Paying it off on time can help build your credit history.

Which of the following is not an advantage of having health insurance?

People with health insurance can skip lines in emergency rooms.

Which of the following is not a useful strategy when making an informed purchase?

Purchase a product based on a social media influencer

Which of the following will help you protect yourself from identity theft and fraud?

Regularly monitor your credit report. Contact lenders and credit bureaus to address incorrect information. Freeze your credit. All of these are good pieces of advice.

Which of these additional costs will most likely be the most expensive?

Room and board

What is one of the best ways to get reliable information about a product?

Search online reviews

Which loan type am I? I have limits on the amount that you can borrow based on your year in college. The federal government makes the interest payments on me while you are in college, and you make the interest payments on me after you graduate.

Subsidized Federal Student Loan

Which of the following is not true about the free application for federal student aid (FAFSA)?

The earliest you can submit your FAFSA is January 1st of each year.

All of the following are true about the FAFSA except which one?

The form is only available online.

How is a post from a social media influencer different than a comment from a regular consumer?

The influencer is paid to post about the product.

How is having a security system for your home a risk management strategy?

The security system will alert authorities and deter criminals, protecting your valuables and property.

What is the best reason for why someone would want to lease a house instead of buy one?

They are planning on living there for a short period of time.

What is the best reason for why someone would want to lease a house instead of buy one

They are planning on living there for a short time

When are loans a good option to use?

When paying for higher education.

What option will not be available if you are behind on loan payments

You can ask to get out of your loan.

What option will not be available if you are behind on loan payments?

You can ask to get out of your loan.

Which is not a positive reason for using credit card to finance purchases?

You will get charged with high interest.

When making a large purchase, you should avoid everything except

a price that fits comfortably in your budget

Giving up one thing for another is known as

a trade off

Advertisements can have a huge influence on how consumers decide what products to purchase. One such influence is defined as "Trusting some people more than others, simply because they appear to be an 'expert' or hold some sort of power." This influence is known as

authority influence.

The practice of offering multiple, usually related, goods and services at a lower price than if each item were purchased separately is known as

bundling

Which payment option is not accepted online?

cash

Which forms of payment are linked to a bank account which limits the amount of money you can spend to the balance in your account?

checks and debit cards

When looking for pre-approval on a car loan, you should

compare pre-approval offers and select the one that is best for you.

Making a good purchasing decision requires

comparing the prices of similar items. reading reviews of the product. waiting until the product is on sale, if possible. All of these are appropriate suggestions.

Which method of payment actually is a form of borrowing money that needs to be paid back later?

credit card

Which payment option can offer additional security like fraud protection?

credit card

Which payment option could have interest charged to you?

credit card

When looking for pre-approval on a car loan you should not

get a loan from the car dealer directly to keep things simple.

Federally-funded grants require the student to

have financial need only.

Liability insurance is

insurance that will pay for injury to another driver and / or damage to their car if you are in an accident.

Something people buy to protect themselves from losing a lot of money in the event something happens to them or their property is known as

insurance.

Everyone interested in post-secondary education should complete the FAFSA because

it allows you to be eligible for federal student aid and other scholarships and grants.

Going directly to a car dealer for a loan to keep things simple is a

not great because they typically offer higher interest rates.

Recommended methods to protect yourself from identity theft and fraud include

placing a credit freeze with the credit bureaus.

Buying a home security system is an example of protecting your home against

risk.

Living at home while enrolled in post-secondary school or training can save money on

room and board, but it raises costs for transportation

When a lack of resources (such as time, money or number of products) creates a sense of urgency that pushes people to participate faster, we say there is an influence of _____ happening.

scarcity

An insurance premium is

the amount of money you pay for an insurance policy.

An insurance deductible is

the amount you owe before insurance will cover the rest of the bill.

In consumer terms, the acronym FOMO stands for

Fear of Missing Out

What type of federal funding is free money but is based on financial need only?

Federal grants

Rank these ways of paying for college from most attractive (use this method first) to least attractive (use this method last).

Federal loans - Third-Most Attractive Work-study - Second-Most Attractive Private loans - Least Attractive Grants and scholarships - Most Attractive

The fact that you are most likely to earn more money over your lifetime with a post-secondary degree means

the cost of a post-secondary degree is worth it.

The price of a single item within a group of items is known as the _____ of the item.

unit price

Fundamental beliefs or practices about what is desirable, worthwhile and important are known as

values.

What is the benefit of having a good credit score?

When you need a loan, you'll have more loan offers to pick from.

What is a benefit of having a good credit score?

When you need a loan, you'll have more offers to pick from.

Earning a degree can be expensive but which example shows why it might be worth it?

You are more likely to earn more money over your lifetime than if you did not have a degree.

When is it okay not to have health insurance?

You should always have health insurance.

Insurance that will pay for injury to another driver and / or damage to their car if you are in an accident is called

liability insurance.

Benefits to paying the full balance of your credit card each month include

not having late fees.

Paying only the minimum balance on your credit card can lead to

paying more interest.

Wearing a seat belt, not texting when driving and driving carefully are all examples of

risk management strategies.

A deductible is paid by

the policyholder.

An insurance premium is paid by

the policyholder.

Making the choice to spend money on post-secondary education pays off in the long run because

the salary you will earn with a degree will pay back the cost of college over your career.

If someone gets their health insurance through Medicaid, that means

their premium is likely covered by the federal and / or state government.

Living on campus while earning your degree can help you save money on

transportation.

Using a money order as a method of payment is best when

you want to ensure your payment isn't slowed down by the processing of a check.

Going to an in-network doctor is a good idea because

you will save on overall costs when compared to seeing an out-of-network doctor.

What are the benefits of attending a local community college? Select all that apply.

-it is cheaper to earn an Associate's degree at a community college and then transfer to a four-year college to finish. -You can live at home and save dorm fees while earning an Associate's degree. -Choosing a local community college within closer driving range saves on transportation costs.

A shopper who would be the first to pull out a coupon or search for the best offer before making a purchase can best be described as what type of shopper?

A discount shopper

What could be a good option available to you if you are behind on your loan payments?

A financial institution may offer for you to pay a little now and pay the rest after your next pay day.

What could be a good option available to you if you are behind on loan payments?

A financial institution may offer for you to pay a little now and the rest after your next pay day.

Which of the following is not a feature that makes a secured loan less costly than an unsecured loan?

A high interest rate

Using a loan could help with the purchase of which of the following?

A house

Why is it important to have insurance?

A. So that people can protect themselves from losing a lot of money in the event of an unpredictable event or something happens to them or their property. B. So that individuals can defend against the possibility of financial loss to unpredictable events. Both options A and B.

What can insurance protect you from?

A. Theft C. Financial loss Both options A and C.

When filling out the FAFSA online, you need which of the following? Select all that apply.

Bank and / or investment statements (if applicable) Your username and password for your FSA ID Your Social Security number

Which of the following is not a reccomend action method to protect you from identity theft?

Expensive specialty locking or monitoring service.

Why is figuring out the unit price of something useful when shopping?

It helps you determine the best deal.

Which of the following is not a reason to complete the FAFSA?

It allows you to be eligible for early admission.

All of the following are true about why it is important to complete the Free Application for Federal Student Aid (FAFSA) except which one?

It allows you to be eligible for early admissions.

Which of the following statements is true about the value of a college education?

If you start college but don't finish, your pay will be closer to the level of a high school graduate than the level of a college graduate.

Least to most expensive

In state public university Out of state public university Private university

What does liability insurance not cover in the event of an accident?

Injury to yourself

Credit cards can help _____ when paid off on time regularly.

build credit history

Which payment option takes money out of your bank immediately?

debit card

When filing an insurance claim, the policyholder must pay a _____, which is the amount you owe before insurance will cover the rest of the bill.

deductible

Textbooks, transportation, and room and board are all...

additional costs for attending a college or university

When you are deciding what to buy, you should not

assume that buying the cheapest item is the smartest choice

For people living paycheck-to-paycheck, the best way to pay for things they need would be to use

cash.

Annual Percentage Rate (APR), credit limit and penalties and fees are important to consider when

choosing a credit card.

Insurance that covers damage to your car from an accident is called

collision insurance.

When you are deciding what to buy, you should

compare the unit price of items similar to the one you want.

The unit price of an item is calculated by

dividing the total price of the item by the number of units in the item

If you get into a car accident, your _____ may increase because you will be considered riskier for insurance companies to cover you.

insurance premium

Collision insurance is

insurance that will pay to get your car fixed in the event of an accident.

Living at home could save you money while enrolled in post-secondary school or training mostly because

it reduces the cost of room and board.

The cost of a secured loan is typically lower than the cost of an unsecured loan because

it requires collateral.

To maintain a good credit score you must

manage your debt wisely.

When does a consumer know whether a purchase may be a good deal?

A large percentage of positive customer ratings offer detailed explanations. The item has the most features compared to other similar items. Both of these statements are appropriate to consider.

Which of the following should not be a warning sign of a scam when buying a car or other big purchase?

A price that fits comfortably into your budget

What is a risk management strategy you could use to protect your home?

A. Buying a home security system. B. Installing front porch cameras to monitor your home. Both options A and B.

Which is not considered an additional cost beyond tuition for higher education?

Academic counseling

What should you not use a loan to purchase?

Airline tickets to your dream vacation

Which of the following is true about the Free Application for Federal Student Aid (FAFSA)?

All of the above are true.

Secured loans are less costly than unsecured loans because

All three of these are correct statements.

Maria is a high school senior. She wants to go to the local community college and become a nurse. Her grades are average, but she comes from a low-income family. What could she do in order to afford the next step in her dreams to become a nurse?

B. Maria could apply for federal grants to help pay for tuition. C. Maria can apply for need-based scholarships. Both B and C are correct.

What are possible red flags or signs of a scam when buying a car?

Being told your financing fell through Charging of excessive fees

All of the following are true about health insurance except which one?

Being young and healthy means you can skip out on health insurance.

Which item is important to consider when selecting a credit card?

Both APR and fees

Which housing option gives you more freedom and more responsibility?

Buying a house

Which is not an example of risk management strategy?

Buying a new car

Which of the following is not a recommended method to protect you from identity theft?

Expensive specialty locking or monitoring services.

Andrew doesn't want to spend a lot of money on student loans, and does not qualify for grants. What is his best option for affording a bachelor's degree?

He can attend the local community college whose courses transfer to the public four-year college.

Benefits to paying the full balance of your credit card each month include which of the following? Choose all that apply.

Increasing your credit score

What do people purchase as a form of risk management to protect themselves from losing a lot of money in the event something happens to them or their property?

Insurance

How can insurance protect you from financial loss?

Insurance can cover you or your property in case of an accident, theft or another unpredictable event.

What type of shopper would be described as "Knowing what brands s/he likes and sticking to them? This type of shopper can be spotted in long lines when his/her favorite brands release new items. These shoppers value good quality items because they last."

Loyal shopper

How is an advertisement different from a comment from a regular consumer?

The advertisement is likely one-sided

What is the biggest impact on whether a four-year university is affordable?

The amount of financial aid that the university offers.

What can affect whether a public or private university is affordable?

The amount of financial aid they offer.

Which of these items is not important to consider when selecting a credit card?

The look of the credit card.

A pack of 24 pencils is more expensive than a pack of 12 pencils, but why would buying the 24-pack be the better deal?

The price of each pencil, or unit price, is actually cheaper in the 24-pack.

Dimitri's counselor told him that post secondary education can be expensive but can pay off in the long run, what does that mean?

The salary you will earn with a degree will pay back the cost of college over your career.

Why should you purchase insurance?

To prevent financial burden in the case of an accident theft or another event.

An accurate way to define social proof influence would be which of the following?

When social pressure pushes people to take part in activities or events.

What is a consequence of not having health insurance?

You must pay all costs for health care and medical emergencies.

All of the following represent a compelling reason to pay a higher insurance premium except which one?

You will receive a higher level of customer service and better care.

What is not a benefit of having a good credit score?

You'll get accepted to better education institutions.

All of the following are benefits to paying the full balance on your credit card each month except which one?

Your credit score can decrease.

What will happen to your credit score if you do not manage your debt wisely?

Your credit score will go down.

Not managing your debt wisely can result in

a decrease in your credit score.

It's a good idea to have renters' insurance in case

a guest is injured while inside your apartment.

Flattery is defined as

a technique where the potential consumer is complemented as part of the sales pitch.