Oh, that’s a bad car crash. I hope that person has insurance.
What is insurance, and how does it even help?
Insurance comes in many different forms, including auto, home, and health insurance. It helps out if something bad happens, and you pay a fee to keep it called a premium.
Oh, I understand now!
So what is the budget for our vacation?
Why is a budget even important?
A budget is important because you need to know what you are spending so you don´t waste all of your money on unimportant things.
That makes so much more sense!
What is the difference between a credit card and a debit card?
The main difference between them is that a debit card uses money right from your bank account, while you borrow money that you eventually have to pay back with a credit card. If you don´t pay your credit card debt in 25 days, they will charge you interest.