Financial Behavior of Students in the Digital Age

Abstract

This research aims to study the financial behavior of students in the digital age, focusing on the factors influencing spending habits, saving patterns, and financial management. A mixed-methods research approach was employed, combining quantitative data from a questionnaire using a 5-point Likert scale and qualitative data from in-depth interviews and case studies.

The findings indicate that access to financial technology (FinTech) has the highest impact on students' financial behavior, particularly the use of e-Wallets and Mobile Banking, which enhance transaction convenience and encourage increased spending. Additionally, financial literacy plays a crucial role in controlling spending, as students with higher financial knowledge tend to manage their money effectively and save more. On the other hand, the influence of social media is moderate, with many students being affected by advertisements and influencers, though those with strong financial literacy can resist marketing-driven spending impulses.

Case studies reveal that students who frequently use FinTech are more likely to spend more, yet they also utilize financial management tools effectively. Conversely, students relying on cash transactions tend to have better spending control but face limited access to financial resources. This research highlights that enhancing financial literacy and promoting disciplined use of financial technology can mitigate debt issues and improve students' financial management skills.