Financial Literacy among college students
Abstract
Financial literacy is a critical life skill that empowers individuals to make informed and
effective decisions regarding their financial resources. For college students, who are often
managing their finances independently for the first time, a solid foundation in financial
literacy is essential for both academic success and long-term financial well-being. This study
aims to assess the financial literacy levels among college students, focusing on their
understanding of key concepts such as budgeting, saving, credit management, and debt
handling.
Through a structured survey conducted among undergraduate and postgraduate students
across various disciplines, the study evaluates both theoretical knowledge and practical
financial behaviours. The results indicate that while students generally possess basic
awareness of financial concepts, there are significant gaps in their depth of understanding and
application. Many students struggle with managing expenses, using credit responsibly, and
planning for future financial goals. Factors such as family background, prior exposure to
financial education, and access to financial resources influence their financial literacy levels.
The findings underscore the urgent need to incorporate formal financial education within
college curricula. Enhancing students’ financial literacy can lead to better decision-making,
reduced financial stress, and improved academic performance. The study recommends that
higher education institutions implement comprehensive financial literacy programs, including
workshops, online modules, and peer mentoring, to support students in developing essential
money management skills. By fostering financial awareness and responsibility at the college
level, institutions can contribute significantly to students’ personal and professional success.
SYNOPSIS
Title:
Financial Literacy Among College Students
Introduction:
Financial literacy refers to the knowledge and skills needed to manage personal finances
effectively. For college students, developing this competency is crucial as they face financial
responsibilities such as budgeting, managing student loans, and credit usage, often for the
first time in their lives.
Objectives:
To assess the current level of financial literacy among college students.
To identify common financial behaviours and decision-making patterns.
To understand the influence of background factors such as family, education, and
socioeconomic status.
To propose strategies for improving financial education in higher learning institutions.
Methodology:
This study is based on a mixed-method approach including surveys and interviews conducted
among undergraduate and postgraduate students from various academic disciplines. A
standardized financial literacy questionnaire will be used to assess knowledge and behaviors.
Key Findings (Expected):
Many students lack understanding in areas such as interest rates, budgeting, credit
scores, and long-term financial planning.
Financial knowledge often correlates with prior exposure to financial education and
parental guidance.
Students with better financial literacy tend to have more positive financial habits and
reduced stress levels.
Conclusion:
There is a clear need for structured financial education in colleges to equip students with the
necessary tools for responsible financial management. Educational institutions, in
collaboration with financial experts, should consider integrating financial literacy modules
into general education curricula.
Recommendations:
Introduce mandatory financial literacy workshops or courses.
Partner with financial institutions to provide practical learning resources.
Encourage peer-led financial education programs and mentoring.
