It's Just a Matter of Money

Jonnell is a receptionist at the Blood Bank. She works part-time while going to school to be a nurse. Recently, Jonnell bought a new car. She picked the car, in part, based on the size of the monthly note she would have to pay. Her plan was to use wages from her job as well as some of her Pell grant to pay the car note, insurance and operational expenses.

When she bought the car, she made application for insurance. One of the questions on her application was whether or not she had previous accidents. Jonnell did not report that she had been involved in an accident where her car had been hit by another driver. Her car was damaged, an accident report was filed by the PST who took statements from both parties, but Jonnell did not make a claim on her insurance or report this incident to her insurance company.

The insurance company discovered that Jonnell had not disclosed the previous accident and refused to insure her. She called other insurance companies, but they either refused to insure her or in light of her previous unreported accident, offered her a rate that was much higher than she could afford. She is trying to decide what to do.

Does she drive her new car without insurance?

Does she sign-up for the over priced insurance and simply juggle her payments from pay period to pay period?

Does she sell her new car because she can't really afford it?

Does she change jobs to earn more money?

Does she quit school so she can work more hours?

Does she do something else to get more money?

Does she try to borrow the money from parents, friends, etc.


Answer the following questions.