Digital Financial Literacy and Electronic Wallets on the Spending Habits of College Students

Abstract

In the context of a rapidly evolving digital economy, the increasing use of electronic payment systems has become a significant factor shaping college students' financial behavior. The main purpose of conducting the study was to investigate the relationship between digital financial literacy and electronic wallets on the spending habits of college students. The research design employed in the study was a descriptive correlational design used in quantitative research. The survey questionnaires were modified and adapted into two sets, administered to 359 college students at a local higher education institution in Santo Tomas, Davao del Norte. The statistical tools employed to establish the significant relationship between digital financial literacy and electronic wallets regarding the spending habits among college students were mean, Pearson r, and standard deviation. The findings demonstrated a very strong positive correlation between digital financial literacy and electronic wallets on the spending habits of college students, with an r-value of 0.921 and a p-value of less than 0.001. This result implies that the increased digital financial literacy determines the responsible and effective use of electronic wallets, which subsequently impacts the expenditure habits of students. Digital financial literacy helps college students make better financial choices, use money wisely, and avoid impulse spending in a cashless environment. Moreover, budgeting, expense tracking, and financial discipline are made easier with an electronic wallet and sufficient financial knowledge. This study demonstrates the need to enhance college students' digital financial literacy to support the development of healthy spending practices and financially responsible behavior in the digital economy.