Remember the 8 steps that will help you make good financial decisions
Put yourself in a calm state. Decisions made from fear or worry are rarely sound. ...
Gather all your information. ...
Clearly state your goals. ...
Research your options. ...
Weigh the potential outcomes. ...
Sleep on it. ...
Make a decision and act on it! ...
Evaluate your results.
Using information gained from this unit, respond to the following scenarios.
Scenario 1
You want to purchase a new vehicle and you have your heart set on a brand new SUV. You take out a loan to pay for the car, but after six months you begin to fall behind on payment and incur late fees.
How would you use the decision making steps in this scenario?
Does your credit score go up or down?
Why does it go up or down?
If your score goes down, how can you fix it?