Arch Ford/Northwest Arkansas Instructional Alignment Banking and Finance Consumer Lending Geometry / Literacy Task AR Department of Workforce Education Analysis CONTENT STANDARD/ Objective / Task Analysis Knowledge Unit 1: Introduction to Consumer Loans (20 hours) 1. Enduring Understanding - 1a. Essential Vocabulary - 1.1 Define consumer credit, 1.1.1 Describe the 1.1.1 Summarize, installment loan, consumer responsibilities of the paraphrase, and critque use of credit borrower and the lender complex structures in when a consumer loan is infomartional and literary granted texts, including relationships among concepts, details, and visual components 1.2 Discuss how installment 1.2.1 Describe the 1.2.1 Summarize, loans originated characteristics of credit users paraphrase, and critque complex structures in infomartional and literary texts, including relationships among concepts, details, and visual components 1.3 Explain the reasons 1.3.1 Describe the 1.3.2 Communicate consumers use credit characteristics of credit users clearly the purpose of the 1.3.2 Discuss how these writing characteristics influence the use of consumer credit 1.4 Identify the types of 1.4.1 Compare the lending 1.4.1 Identify providers of consumer credit practices among the various interrelationships types of lending institutions between and among 1.4.2 List the classifications ideas and concepts of consumer within a text 1.4.3 Describe how these classifications affect how a lender markets, administers, and prices consumer credit 1.4.4 List the categories of consumer loans 1.5 Define real property 1.5.1 Discuss the various 1.5.1 Communicate loans types of loans included in clearly the purpose of the this category writing 1.6 Define home 1.6.1 List examples of home 1.6.2, 1.6.3, 1.6.4 improvement improvement Summarize, paraphrase, 1.6.2 Describe a and critque complex government-insured home structures in improvement loan infomartional and literary 1.6.3 Describe a texts, including conventional loan relationships among 1.6.4 Compare secured and concepts, details, and unsecured home visual components improvement loans 1.7 Define lien 1.7 Define specialized vocabulary 1.8 Define manufactured 1.8 Define specialized home vocabulary 1.9 Define indirect loans 1.9 Define specialized vocabulary 1.10 Define chattel 1.10 Define specialized vocabulary 1.11 Define equity 1.11.1 Discuss home equity 1.11.1 Communicate loans and how they benefit clearly the purpose of the lenders writing 1.12.1 Define vehicle loans 1.12.1 List the various types 1.12.2 & 1.12.3 of vehicle loans Communicate clearly the 1.12.2 Discuss why purpose of the writing automobile loans are the largest single category of consumer 1.12.3 Discuss collateral for automobile loans 1.13 Define recreational 1.13.1 Discuss the 1.13.1 Communicate vehicles recreational vehicle market clearly the purpose of the writing 1.14 Define marine loans 1.14.1 Discuss the loan 1.14.1, 1.14.2, 1.14.3, 1.14.4 terms for marine loans Identify the main ideas 1.14.2 Discuss financing for and determine the aircraft loans essential elements that 1.14.3 List the types of loans support the main ideas that are categorized as "other consumer loans" 1.14.4 Discuss education loans 1.15 Present the Higher Education Act of 1965 1.16 Define deposit account 1.16 Define specialized loans vocabulary 1.17 Define secondary 1.17 Define specialized market vocabulary 1.18 Define personal loans 1.18.1 Discuss various 1.18.1 Communicate reasons for personal loans clearly the purpose of the writing 1.19 Define check credit 1.19.1 Discuss the purpose 1.19.1 Communicate of check credit clearly the purpose of the writing 1.20 Define overdraft 1.20.1 Discuss benefits of 1.20.2& 1.20.4 Identify revolving credit overdraft protection interrelationships 1.20.2 Discuss advantages between and among and disadvantages of credit ideas and concepts cards within a text 1.20.3 Compare types of card users 1.20.4 Discuss how lenders offer credit card services 1.21 Define card issuers 1.21.1 Discuss why the 1.21.1Communicate and agents credit card market is so clearly the purpose of the competitive writing Unit 2: Laws and Regulations Affecting Consumer Loans (5 hours 2. Enduring Understanding - 2a. Essential Vocabulary - 2.1 Determine the 2.1.1 List each regulator and government agencies that the type of institutions it regular consumer lending monitors practices for banks, credit unions, and savings institutions 2.2 Determine the primary 2.2.1 List the three areas of focus of consumer protection regulations and at least three regulations and laws relating key laws in each area to consumer credit 2.3 Determine the primary 2.3.1 State two kinds of 2.3.1 Summarize, objective of the Uniform bankruptcy plans and their paraphrase, and critque Consumer Credit Code differences complex structures in (UCCC) infomartional and literary texts, including relationships among concepts, details, and visual components 2.4 Present the bankruptcy 2.4.1 State two kinds of 2.4.1 Summarize, laws bankruptcy plans and their paraphrase, and critque differences complex structures in infomartional and literary texts, including relationships among concepts, details, and visual components 2.5 Define Community 2.5.1 Discuss the 2.5.1 Communicate Reinvestment Act (CRA) and responsibilities that financial clearly the purpose of the its purpose institutions have to their writing communities Unit 3: Interest (3-5 hours) 3. Enduring Understanding - 3a. Essential Vocabulary - 3.1 Define interest 3.1.1 List the factors upon which the amount of interest paid on a loan depends 3.1.2 Identify the interest formula 3.2 Define amortization 3.2.1 Explain the correlation 3.2.1 Identify between reduced principal interrelationships and reduced interest between and among ideas and concepts within a text 3.3 Identify the three 3.3.1 Compare the three 3.3.2, 3.3.3, 3.3.4 Follow methods of calculating methods of calculating instructions to perform interest interest specific tasks, answer 3.3.2 Perform simple questions, or solve interest calculations problems 3.3.3 Perform add-on interest calculations 3.3.4 Perform discount interest calculations 3.4 Identify the three 3.4.1 Compare the interest 3.4.1 Identify common methods used for yield on a loan using the interrelationships determining the number of three methods of calculations between and among days on which to calculate ideas and concepts interest in a year within a text 3.5 Discuss the two types of 3.5.1 List examples of two 3.5.3 Communicate loans - closed-end loans and types of loans clearly the purpose of the open-end loans 3.5.2 Figure a monthly loan writing payment using an amortization table 3.5.3 Discuss how monthly payments are calculated 3.6 Define finance charge 3.6.1 Contact an area bank for its disclosure brochure regarding finance charges 3.7 Define annual 3.7.1 Invite a loan officer 3.7.1 Ask questions that percentage rate (APR) and from an area bank to require textual support explain how it is different address the Truth in Lending from interest Act 3.8 Consider possible 3.8.1 Discuss early 3.8.1 Communicate factors involved in early repayment penalties clearly the purpose of the repayment of a loan writing Unit 4: Applying for a Consumer Loan (5-7 hours) 4. Enduring Understanding - 4a. Essential Vocabulary - 4.1 Determine clear loan 4.1.1 List topics that should 4.1.1 Identify the main policies and underwriting be addressed in loan policies ideas and determine the standards 4.1.2 List examples of essential elements that underwriting standards support the main ideas 4.1.3 List methods of taking consumer loan applications 4.2 Explain the elements of 4.2.1 List eight elements 4.2.2 Communicate a complete loan application common to consumer loan clearly the purpose of the applications writing 4.2.2 List and discuss specific documents required in the application process 4.3 Determine the methods 4.3.1 List characteristics of a of detecting consumer loan fraudulent loan application fraud Unit 5: Credit (10 hours) 5. Enduring Understanding - 5a. Essential Vocabulary - 5.1 Identify the four C's of 5.1.1 Relate character, 5.1.1 Summarize, credit credit, capacity, and paraphrase, and critque collateral to the elements of complex structures in a loan application infomartional and literary texts, including relationships among concepts, details, and visual components 5.2 Define credit-reporting 5.2.1 Explain the purpose of 5.2.1 Communicate agency an agency and how agencies clearly the purpose of the can be used or beneficial to writing a lender 5.3 Identify the three primary 5.3.1 List advantages and 5.3.1& 5.3.2 Identify the sources of credit verification disadvantages of each main ideas and determine source the essential elements 5.3.2 Discuss the three that support the main primary resources used to ideas verify collateral and what lenders look for 5.4 Analyze the different elements used in credit reports, income analysis, debt analysis, and risk analysis to make the credit decision 5.5 Describe the events that 5.5.1 List ways applicants trigger the notification may be notified of the credit requirements of the Equal decision under certain Credit Opportunity Act circumstances 5.6 Describe an indirect loan 5.6.1 Discuss under what 5.6.1 Communicate circumstances an indirect clearly the purpose of the loan may occur writing Unit 6: Establishing and Perfecting Security Interest (5 hours) 6. Enduring Understanding - 6a. Essential Vocabulary - 6.1 Review the four C's of 6.1.1 Discuss the purpose 6.1.1 Communicate credit and process of accepting clearly the purpose of the collateral writing 6.2 Define liquidate 6.2.1 Discuss the limitations 6.2.1, 6.2.2, 6.2.3 Identify of using collateral for the main ideas and repayment determine the essential 6.2.2 List the four major elements that support the characteristics of main ideas determining collateral adequacy 6.2.3 Discuss identification and condition 6.3 Define depreciation 6.3.1 Identify how value is determined 6.4 Define purchase money loan 6.5 Define lien holder 6.5.1 Discuss prior liens and 6.5.1 Communicate encumbrances clearly the purpose of the 6.6 Define perfection of a 6.6.1 Compare/contrast writing 6.6.1 Identify security interest perfection of a security interrelationships interest by filing, between and among possessions, and automatic ideas and concepts perfection within a text 6.6.2 Explain the process of perfection by filing a financing statement 6.6.3 Discuss perfection by possession 6.7 Define automatic 6.7.1 List examples of 6.7.2 Communicate perfection automatic perfection clearly the purpose of the 6.7.2 Discuss risks to the writing lender of automatic perfection 6.8 Define attachment 6.8.1 Discuss attachment 6.8.1 & 6.8.2 Summarize, and perfection as necessary paraphrase, and critque elements in obtaining a complex structures in security interest in collateral infomartional and literary 6.8.2 Explain why the lender texts, including must be aware of the relationships among elements to both attachment concepts, details, and and perfection visual components 6.9 Determine the 6.9.1 Discuss the lender's 6.9.1 Communicate procedure of terminating a responsibility in filing a clearly the purpose of the financing statement termination statement writing Unit 7: Loans (5 hours) 7. Enduring Understanding - 7a. Essential Vocabulary - 7.1 Define promissory note 7.1.1 Discuss the elements 7.1.1 Communicate and purpose of a promissory clearly the purpose of the note writing 7.2 State the truth in lending 7.2.1 List the element that disclosures necessary for must be disclosed to consumer loans borrowers 7.3 Define security 7.3.1 Discuss the purpose of 7.3.1 Communicate agreement a security agreement clearly the purpose of the writing 7.4 Identify the importance of a collateral description 7.5 Define acceleration 7.5.1 Discuss why an 7.5.1 Communicate clause and collection costs acceleration clause may be clearly the purpose of the invoked writing 7.6 Identify the documents 7.6.1 Explain how a security 7.6.1, 7.6.2, 7.6.3, 7.6.4 and process necessary for interest in indirect loans is Identify the main ideas perfecting a security interest perfected and determine the in direct loans 7.6.2 Describe the purpose essential elements that of a certificate of title notation support the main ideas 7.6.3 Explain what documents are necessary to secure an aircraft loan 7.6.4 Describe the purpose of a financing statement 7.7 Identify the documents 7.7.1 Describe the 7.7.1 Identify the main needed for loans secured by documents lenders use to ideas and determine the real property secure loans by real property essential elements that support the main ideas 7.8 Define junior lien/second 7.8.1 Discuss the purpose of 7.8.1 & 7.8.2 mortgage a junior lien/second mortgage Communicate clearly the 7.8.2 Discuss the difference purpose of the writing between first and junior mortgage instruments 7.9 Explain the right of 7.9.1 Describe the 7.9.1 Identify the main rescission conditions of the right ofideas and determine the rescission/cancellation essential elements that support the main ideas 7.10 Identify key internal 7.10.1 List examples of 7.10.2 Identify the main documentation a bank must information that must be ideas and determine the create once a loan has been recorded by the bank essential elements that approved 7.10.2 Identify key parts of a support the main ideas welcome letter that should be sent to new borrowers 7.11 Describe loan-closing 7.11.1 Identify the purpose of a consumer loan closing 7.12 Describe three ways of 7.12.1 List the three ways 7.12.1 Identify the main disbursing loan proceeds loan proceeds are distributed ideas and determine the and the conditions for using essential elements that the method support the main ideas 7.13 Describe the methods 7.13.1 List the methods of in which payments can be payment for a consumer loan made by the borrower Unit 8: Servicing Consumer Loans (5 hours) 8. Enduring Understanding - 8a. Essential Vocabulary - 8.1 Describe promissory 8.1.1 List the three things notes set forth in a promissory note 8.2 Name the three most 8.2.1 Discuss the 8.2.1 Communicate commonly used payment responsibility of the bank to clearly the purpose of the systems available to process and apply loan writing borrowers payments 8.3 Identify reasons to use 8.3.1 Explain the four types 5.2.1 Communicate different processing types of payment processing clearly the purpose of the systems used by banks writing 8.4 Classify reports that 8.4.1 List the two 8.4.2 Summarize, lending personnel are classifications of consumer paraphrase, and critque responsible for loan reports complex structures in 8.4.2 List and discuss four infomartional and literary required reports and four texts, including optional reports and their relationships among uses concepts, details, and visual components 8.5 Explain servicing of 8.5.1 Name two major 8.5.1 & 8.5.3 Identify the indirect loans responsibilities for servicing main ideas and determine indirect loans the essential elements 8.5.2 Discuss methods and that support the main responsibilities of servicing ideas consumer loans in responding to inquiries 8.5.3 List six common types of inquiries 8.6 Name the two ways 8.6.1 List the responsibilities financial intermediaries offer assumed by a card issuer established national bank and by an agent credit cards Unit 9: Loan Collections and Consumer Bankruptcy (5 hours) 9. Enduring Understanding - 9a. Essential Vocabulary - 9.1 Identify the factors that 9.1.1 Discuss reasons, 9.1.1 Identify affect delinquency rates for based on delinquency rates, interrelationships consumer loans that consumer loans have between and among different levels of risk for ideas and concepts lenders within a text 9.2 Identify circumstances 9.2.1 List the classifications that may cause a lender to of delinquent borrowers show exception to a delinquent borrower 9.3 Identify the components 9.3.1 Invite a loan officer 9.3.1Ask questions that of an effective collection from a bank to explain require textual support policy his/her institution's collection policy, including examples of collection documents 9.4 Determine the 9.4.1 Research the Fair 9.4.1 Use technology to provisions of the Fair Debt Debt Collection Practices Act research or locate Collection Practices Act using the Internet, and information prepare a summary 9.5 Identify the steps and 9.5.1 Discuss the 9.5.1 Communicate purposes of preliminary background information one clearly the purpose of the collection procedures would need to begin the writing collection process 9.6 Identify the methods that 9.6.1 Discuss situations that 9.6.1 Analyze a position a lender may employ to may determine the collection using concepts gained contact a delinquent borrower method a lender may choose from reading to use and the strengths 9.6.1 Defend a position and/or weaknesses of each with specific evidence from a text 9.7 Identify the two remedial 9.7.1 Discuss the two 9.7.1 Identify payment plans remedial payment plans and interrelationships the circumstances under between and among which forbearance or wage ideas and concepts garnishment would be best within a text 9.8 Identify the two means 9.8.1 Review Revised Article of collateral acquisition on a 9 of the Uniform Commercial delinquent secured loan Credit Code (UCCC) 9.9 Discuss loan charge-off 9.9.1 Contact a bank procedures and why charge- examiner or accountant to offs are necessary present information regarding charge-off procedures and how a charge-off affects a lender's 9.10 Define bankruptcy and 9.10.1 Examine newspapers 9.10.1 Access multiple identify the goal of current to gain an awareness of the sources, using a variety bankruptcy law occurrence of consumer of research tools bankruptcy 9.11 Explain Chapter 7 9.11.1 Arrange a field trip to bankruptcy bankruptcy court 9.12 Explain Chapter 13 9.12.1 Invite a judge as a 9.12.1 Ask questions that bankruptcy guest speaker to discuss require textual support bankruptcy issues 9.13 Describe procedures 9.13.1 Invite a credit 9.13.1 Ask questions that lenders may use to prevent counselor as a guest speaker require textual support or reduce losses caused by bankruptcy kansas Instructional Alignment nce Consumer Lending Additional Materials/ Geometry Literacy Vocabulary Resources Connections Connections Consumer Loans (20 hours) summarize R.9.11.6 paraphrase R.9.12.7 critique summarize R.9.11.6 paraphrase R.9.12.7 critique W.4.11.2 W.4.11.3 inter- R.10.11.2 relationships W.4.11.2 W.4.11.3 summarize R.9.11.6 paraphrase R.9.12.7 critique R.11.11.1 R.11.11.1 R.11.11.1 R.11.11.1 W.4.11.2 W.4.11.3 W.4.11.2 W.4.11.3 W.4.11.2 W.4.11.3 R.10.11.2 R.11.11.1 R.11.11.1 W.4.11.2 W.4.11.3 W.4.11.2 W.4.11.3 inter- R.10.11.2 relationships W.4.11.2 W.4.11.3 Affecting Consumer Loans (5 hours) summarize R.9.11.6 paraphrase R.9.12.7 critique summarize R.9.11.6 paraphrase R.9.12.7 critique W.4.11.2 W.4.11.3 erest (3-5 hours) inter- R.10.11.2 relationships R.10.12.2 inter- R.10.11.2 relationships W.4.11.2 W.4.11.3 open-ended IR.12.12.1 W.4.11.2 W.4.11.3 Consumer Loan (5-7 hours) R.10.11.2 W.4.11.2 W.4.11.3 redit (10 hours) summarize R.9.11.6 paraphrase R.9.12.7 critique W.4.11.2 W.4.11.3 R.10.11.2 W.4.11.2 W.4.11.3 fecting Security Interest (5 hours) W.4.11.2 W.4.11.3 R.10.11.2 W.4.11.2 W.4.11.3 inter- R.10.11.2 relationships W.4.11.2 W.4.11.3 R.9.11.6 R.9.12.7 W.4.11.2 W.4.11.3 oans (5 hours) W.4.11.2 W.4.11.3 W.4.11.2 W.4.11.3 W.4.11.2 W.4.11.3 R.10.11.2 R.10.11.2 W.4.11.2 W.4.11.3 R.10.11.2 R.10.11.2 R.10.11.2 onsumer Loans (5 hours) W.4.11.2 W.4.11.3 W.4.11.2 W.4.11.3 summarize R.9.11.6 paraphrase R.9.12.7 critique R.10.11.2 d Consumer Bankruptcy (5 hours) inter- R.10.11.2 relationships open-ended IR.12.12.1 W.4.12.1 W.4.11.2 W.4.11.3 Text R.9.11.10 Evidence inter- R.10.11.2 relationships research IR.12.12.3 open-ended IR.12.12.1 open-ended IR.12.12.1
"Promissory Note Examples - Excel"