CONTENT STATEMENT
Different payment methods have advantages and disadvantages.
CONTENT ELABORATION
Effective purchasing requires an understanding of the advantages and disadvantages of payment options.
Credit cards offer such advantages as convenience in shopping, promotional incentives, and enabling consumers to build their credit scores. There are disadvantages as well, such as interest rates on periodic balances making purchases more expensive.
Individuals can set up different kinds of credit accounts with firms (i.e., regular, revolving, installment). All offer advantages and disadvantages.
Different types of loans are offered by financial institutions. There are advantages and disadvantages for these as well (e.g., single payment, installment).
Maintaining a system of financial recordkeeping will help inform financial decision making in the long run.
There are different ways of paying fixed, variable and periodic bills to maintain financial stability (e.g., cash, check, credit, debit, electronic).
EXPECTATIONS FOR LEARNING
Evaluate the advantages and disadvantages of different payment methods.