Unit 6: Money and Finance — Intermediate English Course

Vocabulary

Money, banking, and personal finance.

Budget

A plan for how to spend money over a period of time

If you stick to a budget, you will spend less.

Savings

Money kept in a bank account rather than spent

If interest rates rise, your savings will grow faster.

Debt

Money owed to another person or organisation

If you pay only the minimum, your debt will increase.

Invest

To put money into something with the hope of making a profit

If you invest early, you will benefit from compound interest.

Loan

Money borrowed from a bank or person, to be repaid with interest

If you take out a loan, you will pay interest on it.

Interest rate

The percentage charged on a loan or paid on savings

If the interest rate increases, mortgages will become more expensive.

Mortgage

A loan taken out to buy a property

If property prices fall, fewer people will take out mortgages.

Income

Money received regularly for work or investments

If your income rises, your tax bill will also increase.

Expense

An amount of money spent on something

If you reduce expenses, you will have more to save.

Afford

To have enough money to pay for something

If I get a pay rise, I will afford a better flat.

Withdraw

To take money out of a bank account

If you withdraw cash abroad, you may pay a fee.

Transfer

To move money from one account to another

If you transfer funds online, it will arrive the same day.

Vocabulary exercises

Grammar

The first conditional — real and possible future situations

We use the first conditional to talk about real and possible situations in the future, and their likely results.

Form: If + present simple, will + base verb
If you save £200 a month, you will have £2,400 by the end of the year.

The if clause can come first or second: You will save money if you make a budget.

Clause	Form	Example
If clause (condition)	if + present simple	If you invest early…
Main clause (result)	will + base verb	…you will earn more interest.
Negative condition	if + don't/doesn't + verb	If you don't save, you won't have an emergency fund.
Negative result	won't + base verb	If prices rise, I won't be able to afford it.
Question form	Will + subject + verb if…?	Will you pay off your debt if you get a bonus?
Comma rule	If clause first → use comma	If you budget carefully, you will save more. ✓

Don't use will in the if clause: If you will save… ✗ If you save… ✓. You can also use can, may, might in the result clause: If you invest, you might earn more.

Grammar exercises

Reading

Read the article, then answer the questions.

Five money habits that will change your life

Most financial experts agree: if you develop good money habits early, you will be in a much stronger position by the time you reach middle age. The good news is that the habits themselves are straightforward — the difficult part is sticking to them.

The first habit is budgeting. If you track exactly where your money goes each month, you will almost certainly find areas where you can cut back. Many people discover that small daily expenses — a coffee here, a subscription there — add up to hundreds of pounds a year.

The second is building an emergency fund. Financial advisors recommend keeping three to six months of expenses in a savings account. If you have an emergency fund, you won't need to take on debt when unexpected costs arise.

Third, avoid unnecessary debt. If you pay off your credit card in full each month, you will never pay interest. This single habit can save thousands of pounds over a lifetime.

Finally, start investing as soon as possible. If you invest even a small amount regularly, compound interest will work in your favour over time. The longer you wait, the less you will benefit from this effect.

Comprehension questions

Writing

Guided writing task.

Task: Financial advice

Write a paragraph (80-120 words) giving financial advice to a young person. Use first conditional sentences and unless.

Give advice about saving using a first conditional
Warn about debt using unless
Mention budgeting and investing
Use financial vocabulary from this unit

0 words

Unit test

10 questions. You need 80% to pass.

Unit 5 All units Unit 7