Questions Tasi Laura Jacqui Hone Tariq His bank Her credit card Her credit card Family/whanau Not applicable. (d) Identify at least two types of credit Finance through the provider provider Store he buys the providers for each of company he buys the Her bank. Hire purchase from computer from. the flatmates who wish to borrow. van from. shop she buys the computer from. Interest rates can Payments of $100 a Payments of $20 a Payments of $20 a Not applicable (e) What credit costs does the flatmate differ significantly on week, but no time week, but no time week, but no time need to think about personal loan and frame is mentioned. frame is mentioned. frame is mentioned. before taking on debt? car finance offers. Although it states Interest rate on credit Interest rate on credit Loan terms from payments as $74 a card, paricularly if card and on hire family as there is no week it Laura decides to pay purchase agreement set agreement, the doesn’t say for how long, so we only the minimum family could ask for cannot calculate the balance due. Non-repayment of immediate payment total cost of the loan. instalments affecting of the loan at any Non-repayment of credit rating/history time. instalments affecting Resulting in possible If Hone defaults on Tasi may lose his job credit rating/history repossession and his payments this if he is unable to take Resulting in possible paying higher could cause bad his tools to work, but repossession and interest on future feeling and if Tasi defaults on the paying higher borrowing resentment within the loan there will be interest on future family. extra costs in the borrowing. form of penalties for late or non-payment.
Questions Tasi Laura Jacqui Hone Tariq (d) Identify at least two types of credit providers for each of the flatmates who wish to borrow. His bank Finance through the company he buys the van from. Her credit card provider Her bank. Her credit card provider Hire purchase from shop she buys the computer from. Family/whanau Store he buys the computer from. Not applicable. (e) What credit costs does the flatmate need to think about before taking on debt? Interest rates can differ significantly on personal loan and car finance offers. Although it states payments as $74 a week it doesn’t say for how long, so we cannot calculate the total cost of the loan. Tasi may lose his job if he is unable to take his tools to work, but if Tasi defaults on the loan there will be extra costs in the form of penalties for late or non-payment. Payments of $100 a week, but no time frame is mentioned. Interest rate on credit card, paricularly if Laura decides to pay only the minimum balance due. Non-repayment of instalments affecting credit rating/history Resulting in possible repossession and paying higher interest on future borrowing. Payments of $20 a week, but no time frame is mentioned. Interest rate on credit card and on hire purchase agreement Non-repayment of instalments affecting credit rating/history Resulting in possible repossession and paying higher interest on future borrowing Payments of $20 a week, but no time frame is mentioned. Loan terms from family as there is no set agreement, the family could ask for immediate payment of the loan at any time. If Hone defaults on his payments this could cause bad feeling and resentment within the family. Not applicable