Proverb; Neither a borrower nor a lender be
Discussion- Should you ask your friend to
loan you money? Should you loan money to
your friend?
Consider- What happens if there is a problem
paying back the money?
Activity- find the difference between the
percentage interest rates paid to savers and
charged to borrowers in banks or building
societies.
Calculation
Many people choose to have a mortgage
which is a loan used to help buy a house.
Janbe’s mortgage payments are £440 per
month. Her next door neighbour rents the
property for £500 per month.
What is the difference in what they pay out
for the year?
What are the advantages and disadvantages
in renting or buying?