CAREER PREPAREDNESS

UNIT TOPIC: CREDIT AND DEBTLESSON PLAN #:1/1

Title of Lesson:
Bankruptcy / Total Time on Task: 50 minutes
Content Standard:
  1. Examine why credit ratings and credit reports are important to consumers.
  1. Explain ways of building and maintaining a good credit score.
  2. Determine the implication of entering into contracts and binding agreements. (e.g., college loans, cell phone contracts, car loans, collateral loans, passbook loans, mortgages).
  3. Describe legal and illegal types of credit that carry high interest rates, including payday loans, rent-to-buy agreements, and loan-sharking.
  4. Assess the implications of bankruptcy, including Chapter 7, Chapter 11, and Chapter 13.

Lab Access:Required for Students☐
Optional for Students☒
Not Needed for Students☐
Overview/Annotation:
In this lesson students understand the terminology associated with bankruptcy and the different options of filing for bankruptcy. They will assess the damage that bankruptcy can do to a person’s credit.
Essential Question(s):
What is bankruptcy?
How will filing bankruptcy affect my future spending power?
How do I recover from filing bankruptcy?
What are some alternatives to filing for bankruptcy?
Learning Objective(s): The students will:
  1. Understand what bankruptcy is and how a person gets to the point of needing to file for bankruptcy.
  2. Assess the types of bankruptcy.
  3. Determine which bankruptcy would be the best option for different circumstances in filing for bankruptcy.

Conceptual Outline:
  1. Bankruptcy
  1. Bankruptcy law
  2. Signs of problems
  3. Credit counseling
  4. Chapter 7
  5. Chapter 11
  6. Chapter 13

Materials, Equipment, and Technology Resources:
Materials:
  1. PowerPoint #1: Understanding Bankruptcy
  2. Teacher Information #1: Bankruptcy (PowerPoint Notes)
  3. Assignment #1: Bankruptcy Worksheet
  4. Assignment #2: Quick Glance at Bankruptcy
  5. Key #1 for Assignment #2: Quick Glance at Bankruptcy
Equipment:
  1. Computer with Internet access
  2. Projection system with sound
  3. Student computers optional
Technology Resources:

Procedures/Activities:
  1. Class Discussion: What does bankruptcy mean? Today we are going to venture into understanding bankruptcy and how to recover from it.
  2. Class Discussion: Show PowerPoint #1 using the note section to prompt discussion. The videos provided in PowerPoint #1 can be used as a teacher information resource or to use with students. The note section of the PowerPoint is not visible during presentation mode. Print Teacher Information #1, which is the PowerPoint notes.
  3. Class Discussion: Distribute copies of Assignment #1. Discuss items on sheet so that students have an understanding of the terms and information required to file bankruptcy.
  4. Exit Slip: Distribute copies of Assignment #2, which is completed as the exit slip.

Assessment:
  1. Class participation.
  2. Assignment #1
  3. Assignment #2 (Exit Slip)