Understanding overdrafts, credit cards and credit scores

This lesson contains content from a lesson previously titled Financial survival skills, you can find out about the updates here.

This lesson features in the financial education scheme of learning for 16-19 year olds. A ready-made sequence of curriculum linked resources to help you build progression in your learners' knowledge over time. Visit the Scheme of learning homepage to support with your planning.

The Understanding overdrafts, credit cards and credit scores lesson focuses on the use of credit cards, understanding what a credit score is, identifying different types of borrowing and how to apply different debt strategies to a range of financial emergencies.

Resources

• Understanding overdrafts, credit cards and credit scores: Lesson plan - for use with a group of students in the classroom.
• Understanding overdrafts, credit cards and credit scores: Presentation slides - to display to students and use alongside the lesson plan.

Lesson learning outcomes

By the end of the lesson students will be able to:

• Discuss current accounts and the use of credit cards.
• Identify different forms of borrowing and how to apply different debt strategies to a range of financial emergencies.
• Understand the difference between being in debt and in financial difficulty.
• Identify what a credit score and top tips for looking after it.

They also develop students’ core transferable skills such as problem solving and communication. 

These resources align to the Young Money Financial Education Planning Framework and have been awarded the Young Money Quality Mark.

Why not include financial capability as a focus in your students’ wider curriculum? Refer to our Content guide to find out how LifeSkills resources can be used in PSHE or Maths lessons.

If you want to increase your own confidence to teach young people about money, Young Money provide free e-learning training to teachers across Primary and Secondary education. In addition, National Numeracy has a free website which helps you practise and refresh your everyday maths skills.