Day 51: Mortgages Video 2.4

Bellwork:

• Budget Challenge
• EverFi

Intro to Debt:

• Watch Video 2.4 "Dubunking the Credit Myths"
• take notes as you watch (pretend you're the teacher)
• 15 vs. 30-year mortgage
• 15 has higher monthly payments
• 30 ends up paying more total interest
• I = P x R x T
• appears like you can get more for less with a 30, but in the long-run you end up paying a lot more and being saddle with debt for a longer period of time.
• example:
• $225,000 principle at 6% rate for 30 years
• $1,400 per month, $320,000 total
• $225,000 principle at 6% rate for 15 years
• $1,900 per month, $460,000 total
• There is no "good" debt
• save up and pay cash

Dave Ramsey’s $55,000 Financial Literacy Challenge is now open! This Challenge, sponsored by Zander Insurance, is a brief online money quiz and survey and gives high school seniors a chance to win a $40,000 scholarship. Yes, you read that right—$40,000—which can be used at any college the winner wants to attend! Other prizes for underclassmen and additional scholarships for seniors are also up for grabs.

Your students can access the Challenge at https://www.daveramsey.com/challenge?ectid=50.23.2821&teacher_email=mhaworth@leyden212.org
The Challenge ends Monday, April 25.  Best of luck to your students!