Choosing credit

What you can do at this level

• Kdaily-lifelarge-majority

  Knows or can easily research the different types of credit available (including credit cards, mortgage products, rotating credit facilities or short-term credit), their intended use and the main advantages and disadvantages of each

• Kresiliencedaily-lifelarge-majority

  Knows whether or not a loan is secured against an asset, and can assess the benefits and disadvantages of using such a loan including the implications of failing to repay the secured credit

• Kresiliencedaily-lifelarge-majority

  Knows why it is important to be aware of the current interest rate on credit and whether that rate is fixed or variable, as well as the rate of inflation

• Kdigital

  Aware that credit can also be accessible online (e.g. through peer-to-peer lending platforms) and is able to distinguish the different features (and risks)

• Ksustainable

  Aware that different types of mortgages exist, including green mortgages

• Kresiliencedaily-lifelarge-majority

  Aware of the risk of foreclosure in case the mortgage is not paid off

What you can do at this level

• Sresiliencedaily-lifelarge-majority

  Chooses credit products carefully (once the decision has been made to borrow, and once the appropriate credit product has been selected), taking into account factors such as the interest rate, inflation rate, overall cost and flexibility as well as the amount to be paid on regular repayments

• Sdigitaldaily-life

  Uses comparison tools to evaluate the cost and other characteristics of credit products

What you can do at this level

• Adaily-life

  Confident to ask additional information about different types of credit

• Adaily-life

  Confident to choose a suitable credit provider and product when necessary, also by using available comparison tools