One phone, five ways to pay
You want a phone that costs €1,200. You earn €400 a month and you have €500 saved.
Below are five ways to get the phone. Your job is not to find "the right one" — there isn't one. Your job is to compare the real cost and explain your decision in English.
All offers here are made-up examples for the exercise.
What each one really costs
| Option | Total you pay |
|---|---|
| 💶 A · Pay now — but you only have €500 | €1,200 |
| 🐖 B · Save first — €100 a month for 7 months, then buy | €1,200 |
| 🧾 C · Instalments — €59 a month for 24 months | €1,416 |
| 🏦 D · Bank loan — €54.82 a month for 24 months (9% APR example) | €1,315.68 |
| ♻️ E · Buy used — last year's model, good condition | €700 |
🤔 Option C has the friendliest advert. What does it actually cost you compared with option A?
Show answer
€59 × 24 = €1,416 — that is €216 extra, about 18% more than the cash price, and you are tied to a payment for two years.
Check any offer yourself
Change the numbers, or test a real offer you find online.
Four questions for every option
- What is the total cost?
- What do I give up to do it — my savings, my emergency fund, or 24 months of freedom?
- What happens if my income stops in month 8?
- Do I need this phone — or a phone?
🤔 Option E is the cheapest by far. So why doesn't everybody choose it?
Show answer
Used means an older model, a shorter battery life, maybe no warranty, and no "new" feeling. Cheaper is not automatically better — it is a trade-off, like everything else in this course.
Your decision, in four lines
Post this in the chat, or write it in your notes. English only — short sentences are perfect.
- 1. I choose option …
- 2. The total cost is €…
- 3. The opportunity cost is …
- 4. One risk is …