Watch the food monster/debt monster video with your children.
Have a Q & A session afterwards and help them to understand different kinds of financial debt.
(Please note : as with most things in life there are different opinions – no different with debt. I think there are two kinds of debt. Good debt is borrowing money to pay for an asset. Bad debt is borrowing money to pay for a liability.)
This is also a good opportunity to have the asset/liability conversation again with your children and make sure they understand the difference between a financial asset and a financial liability. An asset brings money into your life. A liability does not (and often takes money away from you, eg a loan to buy a posh fancy expensive car or the latest label shoes).