scholarly journals A Study on the Impact of Financial Literacy on the Financial Behaviour of College Students

2021 ◽  
Vol 9 (4) ◽  
Keyword(s):  
College Students ◽  
Decision Making ◽  
Significant Influence ◽  
Significant Relationship ◽  
Financial Literacy ◽  
Modern Society ◽  
Financial Products ◽  
Financial Behaviour ◽  
The Impact ◽  
Gender Type

Financial literacy is increasingly vital as it has become essential that individuals acquire the skills to be able to survive in modern society and cope with the increasing diversity and complexity of financial products and services available. Financial literacy is the ability to take effective and sound decisions regarding the use and management of money. In the current era, no one can deny the importance of proper decision-making in the finance sector. If someone is not having enough financial literacy, how can he or she plan for a secure future! Especially when we talk about financial literacy among the students it is always a big matter because ultimately, they are the future of the country. The main objective of the study is to analyse the impact of financial literacy on the financial behaviour of college students. And also, the study examines the level of financial literacy among college students in India by evaluating the influence of various demographic factors like gender, type of courses, and income. The demographic, as well as financial behaviour and financial literacy, are the variables used in this study. Regression proved that there is a statistically significant influence of financial literacy on the financial behaviour of the students. And also, the demographics of student a has a significant relationship with financial literacy.

scholarly journals DO SOCIO-DEMOGRAPHIC CHARACTERISTICS AND ISLAMIC FINANCIAL LITERACY MATTER FOR SELECTING ISLAMIC FINANCIAL PRODUCTS AMONG COLLEGE STUDENTS IN INDONESIA?

2020 ◽  
Vol 6 (1) ◽  
Author(s):  
Salma Fadhilah Widityani ◽  
Taufik Faturohman ◽  
Raden Aswin Rahadi ◽  
Yulianti Yulianti
Keyword(s):  
College Students ◽  
Significant Relationship ◽  
Financial Literacy ◽  
Educational Institution ◽  
Demographic Characteristics ◽  
Islamic Finance ◽  
Determinant Factors ◽  
Finance Industry ◽  
Financial Products ◽  
Course Experience

Indonesia is a promising market for the Islamic finance industry since most of the population is Muslim. However, the growth of Islamic finance in Indonesia is still low. Therefore, Islamic financial literacy needs to be improved in order to grow the Islamic finance industry significantly. The purpose of this study is to determine the factors that enhance Islamic financial literacy among college students in Indonesia. The development of validated constructs for Islamic financial literacy is important because conventional financial literacy might contain some elements that are not compatible with Islamic financial principles. This study also measures the level of Islamic financial literacy and its relationship with socio-demographic characteristics using multilinearregression. Furthermore, the relationship between Islamic financial literacy and the possession of Islamic financial products is observed by logistic regression. The determinant factors are perception, attitude and behaviour, and knowledge. The study found that type of educational institution, Islamic finance course experience, being educated to Master’s degree level, having one’s own income, and having an incomeabove five million have a significant relationship with the Islamic financial literacy of college students. The factors that have a significant relationship with the possession of Islamic financial products are Islamic financial literacy, choice of major, Islamic finance course experience, and monthly income above five million . This research attempts to provide an Islamic financial literacy measurement through exploratory factor analysis.The development of a validated instrument for an Islamic financial literacy index and its determinant factors is our scientific and practical contribution to the literature on Islamic financial literacy in Indonesia.

scholarly journals THE LINKAGES BETWEEN FINANCIAL LITERACY AND ITS APPLICATION IN FINANCIAL DECISION-MAKING AMONG ACADEMICIANS IN INDONESIA

2019 ◽  
Vol 7 (5) ◽  
pp. 1280-1292
Author(s):  
Nevi Danila ◽  
Yousef Shahwan ◽  
Zaiton Ali ◽  
Ahmad Djalaluddin
Keyword(s):  
Decision Making ◽  
Financial Literacy ◽  
Demographic Characteristics ◽  
Survey Method ◽  
Financial Decision Making ◽  
Cash Flow Management ◽  
Financial Products ◽  
Financial Decision ◽  
The Impact ◽  
Financial Practices

Purpose of the study: Financial literacy has become one of the important policies of the Indonesia government. The improvement of financial literacy is crucial for a more stable financial system and reduces financial fragility. Our research is to examine levels of financial literacy, to identify determinants of financial literacy and to investigate whether knowledge is followed by financial practices. Methodology: This study employs the survey method, which includes questionnaires sent to academicians in Indonesia. Multiple regression analysis (MRA)is used to empirically analyze the relationship between financial literacy and its application in financial decision-making.   Main findings: The respondents are financially literate with the same level of financial literacy. Socio-demographic characteristics influence significantly the financial literacy and the capability in cash flow management of the respondents. Further, there is a linkage between the knowledge of financial products (financial literacy) and its application in financial decision-making. Application: It implies that the knowledge about the financial product is very important for creating a high financial literacy society. The Indonesia government needs to run more seriously one of the pillars in the National Strategy for Financial Inclusion through the Ministry of Education. Novelty: Most of the previous studies focused on conventional products, while this study includes both conventional and Islamic financial products. Further, we also consider the application of Islamic (shari’ah) financial practices. We investigate the impact of financial literacy with socio-demographic characteristics on its application in financial decision-making.

Struggling to make ends meet: can consumer financial behaviors improve?

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Lisa K. Meneau ◽  
Janakiraman Moorthy
Keyword(s):  
Financial Literacy ◽  
Financial Management ◽  
Group Analysis ◽  
Self Control ◽  
Thinking Styles ◽  
Financial Health ◽  
Content Type ◽  
Financial Behaviors ◽  
Financial Products ◽  
The Impact

PurposeThe purpose of the study is to examine the following two research objectives. The first was to examine the predictive relationships that consumer characteristics of financial literacy, thinking styles and self-control have with a consumer's financial behaviors. The second goal was to ascertain financial management products' ability to aid those consumers who need it the most by weakening the predictive effects of consumer traits on financial behaviors.Design/methodology/approachThe study employed a web-based survey to gather information. The measurement and structural models were analyzed using generalized structured component analysis (GSCA), a component-based structural equation model. The mediation effect of self-control is assessed using the GSCA. The conditional mediation of demographic variables and use of personal financial management products are evaluated using multi-group analysis (MGA) in GSCA.FindingsAntecedents, financial literacy, thinking styles and self-control consumer characteristics are predictors of financial behaviors. However, self-control plays a more prominent role as a mediator between the other variables, strengthening the overall relationship. Also, financial products can have a beneficial moderation effect assisting those consumers who need them the most.Practical implicationsThese insights help in creating target specific financial literacy strategies to influence consumers' financial behaviors. Also, there is a need to develop mechanisms to influence a consumer's self-control and thinking styles to improve financial behavior. In conjunction with other initiatives, the impact of financial literacy has a greater effect on financial behaviors. Further, the insights assist financial institutions and financial technology firms in offering and creating products to help customers make better financial decisions and improve their financial behaviors.Social implicationsThe research addressed a significant global issue – consumer financial health. The Great Recession and the COVID-19 recession highlight the need to focus on the consumer and efforts to improve their financial health.Originality/valueThis research highlighted the mediating role of self-control and suggested that existing and future financial products can positively influence consumer behavior drivers.

scholarly journals Impact of Behavioral Biases on Investment Decision Making with Moderating Role of Financial Literacy

2018 ◽  
Vol 6 (2) ◽  
pp. 34-41
Author(s):  
Rizwan Khalid ◽  
◽  
Muhammad Javed ◽  
Khurram Shahzad ◽  
◽  
...  
Keyword(s):  
Decision Making ◽  
Financial Literacy ◽  
Positive Impact ◽  
Investment Decision ◽  
Structure Questionnaire ◽  
Investment Decision Making ◽  
Overconfidence Bias ◽  
The Impact ◽  
Moderating Role

The objective of this study is to examine the Impact of Overconfidence bias and Herding bias on Investment Decision Making with Moderating Role of Financial Literacy. The population was Investor, Employee and Graduate Student. A sample of 200 was selected using convenience technique. Data were collected through structure questionnaire adopted from different papers. Correlation and Regression analysis were performed to examine the result. The Results show that overconfidence bias and herding bias have a positive impact on investment decision making and Financial Literacy has positive impact on investment decision making. Based on the results and discussions of the study findings as well as the limitations, theoretical and practical implications of the study have been provided.

The antecedents and consequences of financial literacy: a meta-analysis

2019 ◽  
Vol 37 (6) ◽  
pp. 1462-1479 ◽  
Author(s):  
Fernando De Oliveira Santini ◽  
Wagner Junior Ladeira ◽  
Frederike Monika Budiner Mette ◽  
Mateus Canniatti Ponchio
Keyword(s):  
Financial Literacy ◽  
Meta Analysis ◽  
Future Research ◽  
Cultural Economic ◽  
Content Type ◽  
Credit Score ◽  
Analytical Review ◽  
Financial Behaviour ◽  
Antecedents And Consequences ◽  
The Impact

Purpose The purpose of this paper is to determine the antecedents and consequences of financial literacy by using meta-analytic techniques. Design/methodology/approach The authors conducted a meta-analysis of 44 valid studies, which generated a total of 690 observations (effect sizes). Findings The findings showed that the factors influencing financial literacy were as follows: educational level, financial attitude, financial knowledge, financial behaviour, gender, household income and investments. The consequences of financial literacy were the behaviour of incurring avoidable credit and checking fees, credit score, and the willingness to take investment risks. The authors also find some methodological, cultural, economic and theoretical moderations effects between financial literacy and antecedent/consequent constructs. Research limitations/implications This meta-analysis reviewed the relationships found worldwide in the literature on financial literacy. The authors also identified new avenues for future research. Some specific limitations, such as the non-use of qualitative studies, are registered. Originality/value This research tested the impact of the antecedents, consequences and moderators of financial literacy via a meta-analytical review. This meta-analysis contributes to the marketing and financial literature by offering a set of empirical generalisations about the direct and moderation effects investigated.

scholarly journals Evaluation of a Cognitive Tool for Enhanced Decision Making and Personal Change among College Students

2012 ◽  
Vol 32 (1) ◽  
pp. 18-29 ◽  
Author(s):  
Crystal Mata Kreitler ◽  
Donald F. Dansereau ◽  
Timothy M. Barth ◽  
Gregory T. Repasky ◽  
James Miller
Keyword(s):  
College Students ◽  
Decision Making ◽  
Treatment Group ◽  
Behavior Change ◽  
Cognitive Tool ◽  
Personal Change ◽  
Writing Group ◽  
And Behavior ◽  
The Impact ◽  
Spatial Display

Many college students have difficulty with decision making and personal change. In this study, we examine the impact of a fill-in-the-node spatial display that college students complete while considering alternatives and action plans related to dilemmas and behavior change. College students who utilized the cognitive tool reported greater positive expectations for future decision making and personal change than did those in a problem-based writing group and a no treatment group. Implications for academic advisors are discussed.

scholarly journals The Impact of DISCOVER and SIGI on the Career Decision Making of College Students: Technical Report No. 5

1987 ◽  
Author(s):  
James Sampson ◽  
Robert Reardon ◽  
Michael Shahnasarian ◽  
Gary Peterson ◽  
Rebecca Ryan-Jones ◽  
...  
Keyword(s):  
College Students ◽  
Decision Making ◽  
Career Decision ◽  
Career Decision Making ◽  
Technical Report ◽  
The Impact

scholarly journals Efek Penggunaan Gadget terhadap Social Behavior Mahasiswa dalam Dimensi Globalisasi

2021 ◽  
Vol 14 (2) ◽  
pp. 127-136
Author(s):  
Pandu Hyangsewu ◽  
Mohammad Rindu Fajar Islamy ◽  
Muhamad Parhan ◽  
Risris Hari Nugraha
Keyword(s):  
College Students ◽  
Social Behaviour ◽  
Random Sampling ◽  
Modern Society ◽  
Main Challenge ◽  
The Social ◽  
Thought Patterns ◽  
Approach Method ◽  
Mixed Approach ◽  
The Impact

Kehadiran gadget ditengah-tengah masyarakat kontemporer dalam arus globalisasi berpotensi memberikan dua sisi yang berbeda, positif maupun negatif. Tantangan utama sistem pendidikan di Indonesia saat ini adalah bagaimana para praktisi pendidikan proses pembelajaran yang dapat menjaga moralitas dan religiusitas dalam diri generasi muda dari pengaruh buruk globalisasi tersebut. Penelitian ini bertujuan dalam rangka mengeksplorasi dampak penggunaan gadget terhadap sikap social behaviour mahasiswa di perguruan tinggi. Metode penelitian menggunakan pendekatan mix method dengan menggabungkan kualitatif melalui teknik wawancara dengan kuantitatif dengan teknik questioner. Pengumpulan data menggunakan teknik random sampling. Adapun partisipan pada riset ini sejumlah 75 orang. Lalu data yang ditemukan dilapangan dianalisis dan divalidasi oleh ahli. Hasil penelitian menunjukkan adanya relevansi koneksitas antara penggunaan gadget dengan perubahan dinamika perilaku sosial pada mahasiswa di perguruan tinggi. 43,80% mereka menghabiskan waktu lebih 10 jam perhari menggunakan gadget, Whatsapp menempati rangking pertama dalam pilihan platform, 45,90% lebih menyukai gadget dari pada aktivitas sosial, 83,80% memiliki ketergantungan terhadap gadget. Globalisasi menjadi salah satu faktor penyebab perubahan arus aktivitas dan pola pemikiran pada masyarakat modern khususnya generasi milennial.The Effects of Using Gadgets on Student Social Behaviour in Globalization DimensionsThe presence of gadgets during contemporary society in the flow of globalization provides two different sides, positive and negative. The main challenge of the education system in Indonesia today is how to start a learning process education that can maintain morality and religiosity in creating the bad effects of globalization. This study aims to explore the impact of using gadgets on the social behaviour attitudes of college students. The research method used a mixed approach method by combining qualitative through interview techniques with quantitative questionnaire techniques. Collecting data using random sampling techniques as participants in this research several 75 people. Then the data found in the field are analysed and validated by experts. The results showed the relevance of the connectivity between the use of gadgets and changes in the dynamics of social behaviour in college students. 43.80% of them spend more than 10 hours using gadgets, WhatsApp has been ranked first in the choice of platform, 45.90% prefers gadgets to social activities, 83.80% have a dependency on gadgets. Globalization is one of the factors causing changes in the flow of activities and thought patterns in modern society, especially the millennial generation

scholarly journals Financial Inclusion and Financial Literacy in Low Income Group in Emerging Economy

2020 ◽  
Vol 6 (4) ◽  
pp. 1001-1008
Author(s):  
Hina Affandi ◽  
Qaisar Ali Malik
Keyword(s):  
Financial Institutions ◽  
Low Income ◽  
Financial Literacy ◽  
Relevant Literature ◽  
Financial Inclusion ◽  
Primary Data ◽  
Street Vendors ◽  
Policy Makers ◽  
Financial Products ◽  
The Impact

Purpose: Financial institutions engage in performing imperative part in the economic development of an economy through circulation of funds that resulting in employment and fair distribution of limited resources. Financial literacy results in usage of financial product and services provided by financial institutions that lead to pervasive growth of an economy. Financial inclusion takes into loop the excluded segment of a developing country to attain the desired financial and economic outcomes. Recognizing the importance of financial inclusion, this study is executed to investigate the impact of financial literacy on financial inclusion in street vendors. Design/methodology/approach: This study was conducted in twin cities Islamabad and Rawalpindi. Snowball and purposive sampling technique has been used in this study. Primary data has been collected from street vendors through semi structure interviews and questionnaire. Participatory action research design is used in this study. Deductive approach has been used for qualitative data analysis. Findings: The results of this study found that street vendors only name financial institutions. They don’t have knowledge about financial products and services provided by those financial institutions. Because of inadequate knowledge, majority of the street vendors do not use financial products and services which are available to them. A very small number of street vendors are using financial products and services. The expected outcomes of this study set a direction for policy makers of financial institutions about how to increase financial inclusion by considering the observed relations in this study. Practical implications: The results will help policy makers in formulating effective strategies to bring into the net that excluded segment, which if included will not only improve their quality of life but also augment to the sustainability and growth of economy through financial inclusion. Originality/value: As suggested by the recent relevant literature, the study is an attempt to identify those antecedents of financial inclusion, which has not been explored earlier in context of Pakistan, to extend the earlier findings through qualitative research method and to establish how financial inclusion can be made a success in achieving its desired outcomes in a developing economy.

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