Smart Spending

shopping imageIn this module you will learn about being a smart shopper. You will learn about incentives that sellers offer to buyers and why these incentives work with consumers. You will also learn about the effects of advertising on consumer purchases. By comparison-shopping and using the decision making model before making a purchase, you will save money, avoid impulse buying, and feel greater satisfaction with your purchases. This is especially true for major purchases such as a car or a home. Should you rent a place to live or buy a home? Should you lease a car or buy one? These are huge financial decisions that should not be taken lightly. By using the information in this module, you will be a much smarter consumer!

Pre-Assessment InteractivityPre-Assessment

Before you begin learning about smart spending, take a moment to complete this non-graded pre-assessment. In this interactivity, you will use your knowledge of economic incentives to answer a series of questions. Click the player button to get started.

 

Key Vocabulary

To view the definitions for these key vocabulary terms, visit the course glossary.

Accessories Deceptive Advertising Informative Advertising Realtor
Accrue Defensive Advertising Invoice Price Rebate
Adjustable Rate Mortgage (ARM) Department Store Landlord/Lessor Resale Value
Apartment Discount Lease Residual Value
Asset Down Payment Market Research Return Policy
Balloon Mortgage Duplex Month-to-Month Rental Agreement Rental Inventory
BOGO Efficiency/Studio Apartment Mortgage Security Deposit
Closing Costs Equity Negative Incentive Speciality Store
Collateral Exaggeration Negotiate Tenant/Lessee
Comparative Advertising Fixed Rate Mortgage Outlet/Discount Store Thrift/Consignment Shop
Comparison-shopping Foreclosure Persuasive Adversiting Townhouse
Condominium Frequent Customer Card PITI Utilities
Conspicuous Consumption Impulse Buy Positive Incentive W-2
Coupon Incentive Principal Warehouse store or club
Dealer Add-Ons Influence Rain Check Warranty