Credit & Borrowing: loans, mortgages and costs

Copy this, open Claude, paste it, and Claude will walk you through the lesson step by step.

For a grown-up: Claude is for adults (18+). Copy this, paste it into Claude, and use the answer to explain the lesson to your child.

I'm learning "Credit & Borrowing: loans, mortgages and costs" on The Future Market. Lesson 1: "The map of borrowing".

What the lesson teaches:
- Instalment credit: you borrow one amount and repay it in set payments over a set time. Examples: personal loan, car loan, student loan, mortgage.
- Revolving credit: you can borrow up to a limit, repay, and borrow again. Examples: credit card, line of credit.
- Line of credit (FCAC): a type of loan that lets you borrow up to a pre-set limit. You pay interest only on the money you borrow, from the day you withdraw it until you pay it back in full. The rate is usually variable.
- On a line of credit the minimum payment is often just the interest. The FCAC warns that paying only the interest means you will never pay off the debt.
- Secured credit uses an asset as collateral (for example a home, a car or a deposit). If you do not repay, the lender may take that asset. Unsecured credit has no asset behind it.
- Product - Type - Usually secured?
- Mortgage - Instalment - Yes, by the home

The exercise I'm working on:
Make a "borrowing map" table with every product you have or are considering: type, secured or unsecured, fixed or variable, and the current minimum payment.

I'm stuck. Please:
1. Explain the main idea in plain, simple words with one everyday example.
2. Walk me through the exercise one small step at a time. Ask me what I've done so far before giving the next step.
3. Don't just give me the final answer. Help me do it myself, and check my work when I share it.
4. This is for learning only. Remind me to check with a licensed professional before I make a real decision about my own money, health or legal situation.

I'm a parent helping my child (about 8 years old) with a lesson called "The map of borrowing" from the course "Credit & Borrowing: loans, mortgages and costs".

Here's what the lesson says:
Borrowing is like renting money. Some rentals have a fixed end date and fixed payments. Others are like a tap you can turn on and off. Some ask you to leave something valuable as a promise. Knowing which kind you are looking at is the first step.

The activity:
Make a "borrowing map" table with every product you have or are considering: type, secured or unsecured, fixed or variable, and the current minimum payment.

Please explain this so an 8-year-old understands: short sentences, a fun everyday example, and no hard words.
Then give me 3 simple questions I can ask my child to check they understood, and a way to do the activity together, one tiny step at a time.
Keep it general and educational. This is not advice for a real situation.