Financial Literacy Credit Cards Credit in Algebra Class
Financial Literacy: Credit Cards & Credit in Algebra Class Kate Maschmeyer @Math. Katherine
Overview ● Framing & Big Goals ● How does it work in my class? ● Considerations ● Response from Students ● Moving forward
Framing Credit cards are a real-world application of exponential functions, specifically compound interest. We’re going to explore how credit cards and credit work. Use the info to help make the best [financial] decisions you can with the resources you have at the time. Stay informed & help spread information!
Goals ● Students are highly engaged in learning about real-world applications of the math they are learning ● Students have a greater understanding of: ○ Credit cards & how they work ○ Credit, why it’s needed, & how to build/maintain ○ How & why they can stay informed re financial decisions & share info with others
How does it work in my class? Exploration through activities: ● What’s a Credit Card? & Your Own Credit Card! ● Repayment Calculator ● Class Reading: Credit ● Real Credit Card Offers ● Other Offers: Student Loans, Car Financing ● Mini Project: Real-World Compound Interest
What’s a Credit Card? & Your Own Credit Card What’s a credit card? Class discussion about what credit cards are & how they are used. Includes min payment, APR. Your Own Credit Card! You’re going to get your own (fake) credit card! Choose & write down how much you’d like to spend with it. Spend at least $500. Your credit limit is $3000.
Repayment Calculator https: //www. bankrate. com/calcu lators/credit-cardminimum-payment. aspx
Class Reading: Credit Why do we need credit cards anyway? Can’t I just use cash or debit? Idea of credit & credit scores: https: //creditcards. usnews. com/articles/everything-youneed-to-know-about-credit-scores
Real Credit Offers Small groups explore real credit card offers! ● ● ● Notice & wonder Who is from? What is the offer for? What is the APR? How is the info presented?
Other Offers & Mini Project We do talk about investing money, savings accounts, CDs, etc. briefly. Mini Project: Students choose their own real-world application of compound interest & explore the benefits and costs over time.
Considerations Students at my school come from a very wide range of economic backgrounds. How can we recognize & honor these differences during these explorations?
Response from Students
Response from Students ● Often very excited to receive credit card at start ● Have tried to give credit card back at the end ● Asked to learn about more financial literacy incl taxes ● Graduates have remarked how much they appreciated these lessons & that HS classmates often don’t know this info
Moving Forward Possible future ideas: ● Partner with Humanities to explore systemic financial disparities, why they occur, & how to combat ● Budgeting project ● More resources for students to keep learning ● Financial Literacy activities for wider range of students and/or families
- Slides: 14