AN ASSESSMENT OF PERSONAL MONEY MANAGEMENT AMONG COLLEGE

BUSINESS STUDENTS
 CHAPTER 1

THE PROBLEM

Young, motivated and tech-savvy college students nowadays have all the information
needed to manage personal finances. It's right at their fingertips. Managing personal money is
probably one of the single most important accomplishments you can achieve while you are still
studying. And every aspect of your life might depend on it.

Learning the importance of an exceptional personal money management will better equip
us for your newfound student’s financial decision. For many young people, college is their first
money management experience. Nevertheless, some of them are not adequately disposed in
handling their own finances and some of them know how to manage it well. But what are the
leading reasons that students struggles in personal finances? Was it because of personal finances
incapability, behavior and attitudes in financial decision making? Or, is it due to poor personal
money management and practice? There are many assumptions on how college students might
deal with managing their personal finances.

Well, making sure that your finances are in order even as a college student. Can go a long
way in helping you get a good start after school. In such an environment, personal money
management often becomes an issue. Knowing how to avoid financial struggle as a college
student is the key to beating them. The repercussions of a mistake could land you in deep
distress, so the decisions you make today need to be calculated well.

By practicing some basic personal money management techniques, college students may
feel confident about their ability to manage their personal finances. College is the time where
people make friends for life, they say. Hanging-out, traveling with friends, spending moneys for
your love-ones or thru unnecessary things is somehow fun and makes us enjoy our college life.
But no matter what, you should always think about your financial stability before making plans
and financial decision. It is wise to make proper calculations of your financials to avoid
overspending and financial crisis.
 In Capitol University we’ve seen and overheard students who have been struggling
financially while others are not. And there comes the question, why? The purpose of the study
was to assess the personal money management done among college students at Capitol
University. In order, to know how they manage their personal finances.
CONCEPTUAL FRAMEWORK

INPUT OUTPUT

The Profile of CU  Conclusion

BA Students in Personal Money Management  Recommendation
Capitol
University

Financial Financial Financial

Knowledge Attitude Behavior

Mainly, the broad area of interest to this study is to know the Profile of College BA

Students in Capitol University in terms of their Personal Money Management. To measure our

variable we consider Financial Knowledge, Financial Attitude and Financial Behavior as our

three factors which will help us formulate our Conclusion and Recommendation.

STATEMENT OF THE PROBLEM

In general, this study wants to assess the Personal Money Management among College

Business Students in Capitol University. Moreover, the researcher entreats and seeks to answer

the following:

1. What is the level of Financial Knowledge of College Business Students in Capitol

University?

2. According to their perception, what are the level of Financial Attitude, Financial

Behavior and Practices of College Business Students in Capitol University?

 3. Which has the higher financial knowledge base on groups among College Business

Students in Capitol University?

4. Which has better financial practices base on groups among College Business

Students in Capitol University?

OBJECTIVES OF THE STUDY

1. The specific objective is to assess the personal money management among College

Business Students in Capitol University.

SCOPE AND LIMITATION

The research is focused on an Assessment of Personal Money Management among

College Business Students in Capitol University. The sample will consist of students enrolled

this 2nd semester S.Y 2017-2018 in Capitol University and does not cover external respondents.

Each respondent will be given survey questionnaires to gather relevant information and data.

SIGNIFICANCE OF THE STUDY

This study about Assessment of Personal Money Management among College Business

Students will be very beneficial to the following:

To the College Students – this would help to reduce any financial problems students have to

face with. It would equip them with the good skills and practices, knowledge and confidence they

need to make financial decisions. Students will know and understand what they must do in managing

their financial resources while in college.

 Educators – by exposing the students to more practical teaching method that will assist

students in managing their financial resources while in college.

Parents – they might use the results in assisting their children with management skills

before they enroll in college.

To the future researcher – this disquisition will be useful to those researchers who intend

to pursue a research involving student’s money management. This will help steer their future

studies.

DEFINITION OF TERM

These wells help and guide the future researchers to define of the key terms or concepts

to give clarification and give sustainable meaning of the terminology.

Personal Money Management –refers to the process of balancing one’s individual wealth and

income with financial needs, desires, and goals.

Financial Knowledge – is defined as an understanding of key financial terms and concepts

needed to function daily in the society (Bowen, 2003).

Financial Attitudes - Individual characteristics that take the form of tendencies towards a

financial practice or action. It shows the inclination or likelihood of a person to undertake a

behavior.

Financial Behavior - is the capability to capture of understanding overall impacts of financial

decisions on one’s circumstances and to make the right decisions related to the cash

management, precautions and opportunities for budget planning.

 CHAPTER 2

REVIEW OF RELATED LITERATURE

This chapter presents related studies or researchers and other articles gathered from

books, journals, online journals and internet sources that have significant purposes for the

researches pursued.

Financial Knowledge

A strong evidence from several studies regarding personal finance management suggest

that regardless of how financial operationalized, college students do not possess a high degree of

financial knowledge (Markovich & DeVaney, 1997; Chen & Volpe, 1998; Avard, Manton,

English, & Walker, 2005; Jones, 2005).

In the study of Chen and Volpe (1998), results indicate that students with more years of

college had higher financial knowledge scores than students with fewer years of college. Another

study from Avard et al., (2005) found that college freshmen were able to answer only about 35%

of financial knowledge questions correctly while in the study of Jones (2005) reported that, on

average, incoming freshmen gave correct answers only 56% of the time.

A term paper entitled “Savings Behavior and Financial Problems among College

Students: The Role of Financial Literacy in Malaysia” written by Mohamad Fazli Sabri and

Maurice MacDonald (2010) demonstrated that students who had higher financial knowledge

were more likely to report savings behavior and also reported fewer financial problems. They

were saying that a way to better financial management is through financial knowledge. And

according to Hilgert and Hogarth (2003), financially educated people are able to make better

decision, thus lead to higher financial security; they further said that, financial knowledge is one
of the 16 strongest predictor of financial behavior among university students. Clearly, more

financial education is needed for young adults to better the economy.

Financial Attitude

Less has been written about college students' personal finance attitudes than their

knowledge levels, yet attitudes are an important contributor to a consumer's financial success or

demise.

In the study of Edwards et al., (2007) found that money attitudes were related to student’s

openness with parents about their financial situation. The result of the study also suggests that in

attaining knowledge on financial matters, it needs an inducement through particular money

attitudes which in the same way influence other individual’s behavior.

According to Kim (2003), a positive attitude towards money will tend them to seek

money management knowledge in enhancing their skills in that area of management. That is why

it is important to determine the ‘attitude towards money’ that young adults perceive and efforts

should be taken to change their perceptions or attitudes. This will further enhance positive

money management practices amongst them (Kim, 2003).

Hayhoe, Leach and Turner (1999) in their study viewed students as having favorable

attitude towards credit and claiming that it is because of the way students were raised in a time of

easy credit and living beyond their means. In their result, they found that those students

displaying with higher affective credit attitudes had more credit cards. Hayhoe warned that

students with favorable credit attitudes may be more prone to misuse credit,and suggested that

educators place greater emphasis on teaching students the long-term effects of debt.
According to Hayhoe, "helping students realize how much the debt actually costs and how long

it takes to repay may influence the amount of debt incurred"(p. 17).

Hayhoe et al., also studied the financial attitudes of male and female. In their study, they

found out that financial stressors were likely to experience by male students who applied fewer

financial practices. They further suggest that regardless of gender, students must be informed of

the importance in applying a sound financial principle.

In the study of Robert and Jones (2001) their findings indicated that compulsive buyers

are also those who were less concerned about the price. Their findings also found that

compulsive buyers were most likely to experience higher level of anxiety and stress regarding

money matters.

Whether the topic of interest is budgeting, compulsive buying, credit card use, or money

management practices, clearly, college students' attitudes regarding personal finance matter a

great deal. Moreover, students' attitudes seem to be inextricably intertwined with their behaviors

and knowledge.

Financial Behavior

Shim and Siegel (1991), in their textbook on the theory and problems of personal finance,

underscored the importance of behavior as an essential ingredient for financial success: "Even

with a moderate level of income, you can build substantial wealth by exercising discipline in

your financial affairs" (p. 1). Of the studies conducted over the years at the crossroads of college

students and personal finance, the interest in their behaviors seems to have dominated this

segment of academe.

According to Heck, most students' success in life depends largely upon their ability to

establish financial goals and implement strategies for achieving them. Additionally, and perhaps
most importantly, "students are not only an important group of consumers, but their management

skills and behaviors are harbingers of future consumer vitality in the marketplace and in the

home," so it is important that their personal finance behaviors be examined (p. 13).

Researchers have found several differences between male and female college students

regarding their personal finance behaviors. Hayhoe et al. (2000) conducted a study, which was

overviewed in some detail in a previous section of this literature review, and found several

differences. Female students were more likely than male students to report that they kept a

written budget, shopped with a list, retained bills and receipts, planned spending, and saved

regularly. Female respondents were also more prone than their male counterparts to feel remorse

over a purchase and to write a check with insufficient funds.

Researchers have found several differences between male and female college students

regarding their personal finance behaviors. Hayhoe et al. (2000) conducted a study, which was

overviewed in some detail in a previous section of this literature review, and found several

differences. Female students were more likely than male students to report that they kept a

written budget, shopped with a list, retained bills and receipts, planned spending, and saved

regularly. Female respondents were also more prone than their male counterparts to feel remorse

over a purchase and to write a check with insufficient funds.

In the study of Pinto, Parente, and Palmer (2001a), they found that juniors and seniors

owned significantly more credit cards than freshmen and sophomores.

To round out this portion of the review of literature and segue to the next, an excerpt by

Schug and Reinke (2003), who asked the question, "Why don't people save when they know they

should?", identifies a national epidemic in the U.S.--a dismal rate of personal savings--as well as

the interrelatedness of attitudes, behaviors, and knowledge in the area of personal finance.
According to these scholars, people are often slow to change their financial behavior because the

benefits of doing so may not be immediately realized. Regarding saving and investing, Schug

and Reinke acknowledged that the benefits are uncertain and the outcomes only realized at some

time in the future: "Perhaps in trying to save and invest, you will make poor financial choices

that do not yield the returns you expected. Worse, perhaps you won't live long enough to enjoy

the benefits" (p. 80). Investing, like so many other aspects of personal finance, involves attitudes,

behaviors, and knowledge. As the next section of this literature survey will demonstrate, the

three are nearly always inextricably intertwined.

54

Interrelatedness of Financial Knowledge, Attitude and Behavior

A trio of researchers sought to identify factors that influence the level of credit card debt

among college students (Norvilitis, Szablicki, & Wilson, 2003). In so doing, they found evidence

suggesting that students' personal finance attitudes are unrelated to their behaviors. Contrary to

much of what was hypothesized by Norvilitis et al., attitudes about money were associated with

personality variables but appeared not to be related to behaviors. The researchers suggested that

the relationship between debt attitudes and behaviors may be influenced by several different

variables.

As some findings will reveal, however, attitudes, behaviors, and knowledge do not

always work together in a manner one might expect (e.g., fiscally sound attitudes do not always

lead to prudent financial behaviors).

As Hirt and Nick explained, there is a difference between perceived and actual financial

management skills among students; however, "such differences between perception and reality

may not be uncommon among students and are consistent with the developmental notion that
students can understand issues intellectually but not necessarily behave in ways that reflect that

understanding".

Hilgert, Hogarth, and Beverly (2003) suggest that financial behaviors may be hierarchal

and that some behaviors may be more affected by financial knowledge. Nevertheless, the

determinant of individual’s financial behaviors is the level of knowledge, which was in fact

generally recognized.

Norvilitis et al. (2003) concluded with a challenge for future researchers to take a

sustained, concentrated educational focus on all three aspects of personal finance: attitudes,

behaviors, and knowledge.

.
 CHAPTER 3

RESEARCH METHODOLOGY

This chapter presents the methodology and techniques used in this study. It includes

research design, respondents of the study, and tools of data analysis. Their contribution to the

research was based on survey questionnaire. The question is about An Assessment of

Personal Money Management among College Business Students.

RESEARCH DESIGN

Considering the nature of this study, a descriptive- qualitative method of research

was conducted to fully understand and established a comparative analysis on the assessment of

personal money management among college business students.

The descriptive method of research is a purposive process of gathering, analyzing,

classifying and tabulating data about the assessment of CU Business Administration Students

toward personal money management Then, make adequate and accurate interpretation about such

data with or without the aid of statistical methods. This provided consistent evidence

corroborating the findings and establishes the foundation for the recommendations.

This design was also qualitative that deals data that is primary verbal and gives meaning

from the CU Students’ assessment. The qualitative approach was suitable for this study because

the information gathered focuses on the participants’ certain experiences regarding the research

study.

The researcher used 30 % requirements to determine the ideal sample size for the

population of Capitol University Business Administration College Students.

 The survey was conducted by providing structured questionnaires to a number of

identified respondents. Their answer will be according to what the survey questionnaire asks for

it would serve as a basis for research.

RESEARCH LOCATION

The researchers have chosen the Business Administration students in building 1 of

Capitol University located at Corrales Avenue—Osmeña Extension, Cagayan de Oro City,

Philippines, for the second semester of School Year 2017-2018. The University is headed by its

President, Atty. Casimiro B. Juarez.

Figure 3.1
SAMPLING DESIGN

The researcher used stratified sampling design in which students from Business

Administration were divided into 4 groups which is the 1st year, 2nd year, 3rd year and 4th year

that are randomly selected as the sample size. As of 2018, the total number of students enrolled

in Capitol University second semester is 411.

RESPONDENTS OF THE RESEARCH

From a list of the approximately 411 students at this school, a sample of 123 students was

randomly selected and distributed according to the ratio of the population per year level. Each of

them was surveyed on their assessment on the personal money management.

Table 3.1 Distribution of the Respondents of the Study

Year Level Total Population Sample size (30 %)

1st 56 17

2nd 80 24

3rd 128 38

4th 147 44

Total 411 123

INSTRUMENT OF THE STUDY

The major instrument used to gather data was the survey questionnaire acquired from the

existing study conducted By Ms. Ma. Teresa G. Salumintao. The items were generated based on

the information gathered from the purpose of the study. The instrument adapted a four -point

likert-type scale for rating the response options: Financial Attitude (Strongly Agree, Agree,

Disagree, Strongly Disagree) Financial Behavior and Practices (always Practice, Often Practiced,

Somewhat Practiced, Not Practiced) The survey questionnaire was designed to seek important

information in order to know the significant idea of the specific respondents in our research, and

to share their important experience and knowledge to the researchers.

The instrument consists of three parts. Part I was the Personal Information of the Business

Administration Students. Part II was the financial knowledge the students were given a basic

financial question then will choose from the choices given. This will measure whether the

students have enough financial knowledge. Part III was the financial attitude. Part IV was the

financial behavior and practices.

Table 3.2 Representation of the Questions in the questionnaire

Categories Number of questions

Financial Knowledge 1-10

Financial Attitude
1-10

Financial Behavior and Practices 1-8

Total 28
DATA GATHERING PROCEDURE

The respondents were invited to participate in the survey and were told that it would

take only 10 to 15 minutes to fill out the questionnaire. It was emphasized that their participation

was voluntary and their responses would be kept unanimous and confidential. Before the

questionnaire and letter were handed to the participants, the participants were told that should

they wish not to participate in the survey, they neither have to sign anything nor fill out the

questionnaire.

Scoring Procedure

The following illustrates how the data were interpreted.

Table 3.3. Scoring Procedure on Financial knowledge

Score Interpretation
10-9 High
8-6 Average
5-3 Low

Table 3.4. Scoring Procedure on Financial Attitude

Score Interpretation
1.00-1.75 Very Strong
1.76-2.50 Strong
2.51-3.25 Weak
3.26-4.00 Very Weak
 Table 35. Scoring Procedure on Financial Behavior and Practices

Score Interpretation
1.00-1.75 Always Practice
1.76-2.50 Often Practice
2.51-3.25 Somewhat Practice
3.26-4.00 Never Practice

STATISTICAL TREATMENT

This study employed the descriptive statistics. Descriptive statistics included

measurements of frequencies, percentages. The Likert-type falls within the ordinal level of

measurement which response categories in a rank order. The ranking will be the basis to assess

the level of personal money management of the student.

The following statistical tools were used to analyze the data gathered to answer the

problems stated for this study:

Frequency Counts and Percentage. This was used to describe the personal profile of

the respondents in terms of year level and gender of the Respondents. The formula is as follows:

P=

where:

P = is the percentage (%)

n = is the number of responses, and:

N = is the number of observation

 CHAPTER 4

RESULTS AND INTERPRETATION OF DATA

This section presents all the data about the survey conducted regarding the Assessment of

Personal Money Management among CU Business College Students.

The table above shows the distribution of the respondents according to their year level. It

shows the percentage of the respondents in each year level which is one hundred twenty (123)

respondents in total. 13.82% are 1st year, and that is 71 respondents, they take the lowest portion

in the distribution of respondent’s by year level. 19.51% of second year students and that are 24

respondents. There are 30.89% in third year students, and that is 38 respondents, and 35.77% are

fourth year students, and that is 44 respondents, they take the highest number of the total

respondents surveyed. All in all, there are 123 respondents surveyed.

Furthermore, table 1 also shows the distribution of respondents according to gender.

It shows that there are61.79% of female, that is 76 respondents and 38.31% are male, that is 47

respondents. This means that majority of the respondents are Female.

Table 4.1Demographic Characteristics of Respondents

Demographic Variables Frequency (n=123) Percentage
College Year Level
1st Year 17 13.82%
2nd Year 24 19.51%
3rd Year 38 30.89%
4th Year 44 35.77%
TOTAL: 123 100%
Gender
Female 76 61.79%
Male 47 38.21%
TOTAL: 123 100%
Problem 1. What is the level of Financial Knowledge of College Business Students

in Capitol University?

Table 4.2 shows the CU Business College Student’s level of financial knowledge. As

revealed, 64 participants (52%) had low financial knowledge and 54 participants (44%) had

average financial knowledge. Only 1.63% had a high score in financial knowledge and 2.44%

got a low score. The result implies that CU Business College Students do not possess a high

degree of financial knowledge. One reason for the low level of knowledge is the systematic lack

of personal finance education in the College curricula. Most of the higher education institutions

put little emphasis on students’ personal finance education (Danes & Hira, 1987).

But, there are still factors to be considered such as the mental and emotional preparedness

of the students while answering the questionnaire.

Table 4.2 Level of Financial Knowledge of CU Business College Students

Score Interpretation Frequency Percentage
10-9 High 2 1.63%
8-6 Average 54 43.90%
5-3 Low 64 52.03%
2-0 Very low 3 2.44%
Total 123 100%

The participants’ Level of Financial Attitude were determined based on the mean score

range set by the researchers. Positive mean scale value indicates positive financial attitude. As

revealed in Table 4.3, majority of the participants (63.41%) have a positive financial attitude.

Only 35.77% had neutral financial attitude. With the lowest percentage, 0.81% had a negative

financial attitude.
 Overall, as shown in table 4.4, participants have positive level of financial attitude as

reflected by the overall mean of 1.64. As shown in the table, it is evident that participants

strongly agreed (1.51) that a written financial goals helps them determine priorities in spending

and that a written budget is absolutely essential (1.60). The result also shows that participants

give more importance in saving (item #3) rather than buying things for their happiness (item #6).

A mean of 3.53 strongly agreed in writing financial goals or budget, savings, planning for

spending is importan

Table 4.4 Financial Attitude of CU Business College Students

No. Item Mean Interpretations
I should have written financial
1 goals that help me determine 3.49 Very Strong
priorities in spending.
A written budget is absolutely
2 essential for successfully financial 3.40 Very Strong
management.
3 Saving is really important. 3.79 Very Strong
Having a savings plan is necessary
4 in today's world in order to meet 3.65 Very Strong
one's financial needs.
Planning for spending money is
5 essential to successfully manage 3.53 Very Strong
one's life.
Putting away money each month
6 for savings or investments is 3.52 Very Strong
important.
I am afraid to borrow money from
7 family, friends, 2.95 Strong
boardmates/classmates.
Purchasing things is very
8 2.77 Strong
important to my happiness.
I am uncertain about where my
9 2.97 Strong
money is spent.
Spending less than my
10 allowance/income is important to 3.33 Very Strong
gaining financial success.
Overall Mean 3.34 Very Strong
 The participants’ Level of Financial Behavior and Practices were determined based on

the mean score range set by the researchers. Very strong mean scale value indicates very strong

financial attitude. As revealed in Table 4.4, majority of the participants (36.59%) have a weak

financial behavior and practices while 35.77% had strong financial behavior and practices. There

are 15.45% of the participants having a very strong financial behavior and practices while the

lowest percentage of 9.76% had a very weak financial behavior and practices. The result also

showed that there were 2 respondents who did not responded.

The overall, as shown in Table 4.5, the CU Business College Students were found to have

a weak financial behavior and practices as reflected by the overall mean of 2.58. Results show

that participants often follow a weekly or monthly budget, do comparison shopping (especially

prices) and save money for emergency purposes. These indicate that participants were somehow

wise in terms of handling their finances. Meanwhile, most of the participants responded that they

somewhat practice borrowing money from family/relatives, writing down where their money is

spent, difficulty in managing their money and always paying their living expense on time.

Clearly, students somehow were concerned where there money is being spent.
 No. Item Mean Interpretation
I follow a weekly or monthly
1 2.69 Strong
budget.
I do comparison shopping
(especially prices) at multiple
2 2.89 Strong
retailer/stores before making a
purchase.
I borrow money from
family/relative and friends to pay
3 2.23 Weak
some of my monthly expenses
(photocopy/fare and etc)
I write down where my money is
4 2.27 Weak
spent.
I have difficulty in managing my
5 2.58 Strong
money.
I save money for emergency
6 2.87 Strong
purposes.
I save my money in a financial
7 2.40 Weak
institution (bank).
I always pay my boarding
8 house/dormitory and other living 2.30 Weak
expenses on time.
Overall Mean 2.53 Strong

Problem 2. Which has higher financial knowledge among the groups?

Looking at Table 4.3, results show that 4th year and 3rd year students have average

financial knowledge while 2nd year down to 1st year students had low financial knowledge. It

implies that the level of financial knowledge increases with each year of college. The reason

might be that 1st year and 2nd year students are exposed to a limited number of financial issues

related to general financial knowledge. Another reason can be attributed that these groups of
participants spent on consumption rather than investments. These factors may explain the

differences in the correct answers for the section of General Financial Knowledge.

Moreover, the results confirm the previous study of Chen and Volpe (1998) that students

with more years of college had higher financial knowledge scores than students with fewer years

of college.

Table 4.7 Comparison of the Financial Knowledge among year levels

Year Level Average Score Interpretation
st
1 Year 31% Low
2nd Year 40% Low
rd
3 Year 57% Average
4th Year 67% Average

Problem 3. Which has better financial practices base on groups among College Business

Students in Capitol University?

As shown in table 3, there is a significant difference in the four (4) groups’ financial

behavior and practices. In terms of who has better financial behavior and practices among year

levels, 4th year and 3rd year students have strong financial behavior and practices while 2nd year

and 1st year students have weak financial behavior and practices.

The results confirm the study of Maurice MacDonald (2010), that students who had

higher financial knowledge promote better financial management (see table 4.7 for the

comparison of financial knowledge among year levels).

 Table 4.3 Financial Practices base on groups
Item Mean Interpretation
First Year 1.83 Weak
Second Year 2.64 Strong
Third Year 2.58 Strong
Fourth Year 2.70 Strong
 CHAPTER 5

SUMMARY, CONCLUSION AND RECOMMENDATION

This chapter summarizes the important points of the study, the statistical result

and quantitative analysis of the data, and some suggestions based on the outcome of the study.

Summary

Managing personal money is probably one of the single most important accomplishments

you can achieve while you are still studying and every aspect of your life might depend on it.

Learning the importance of an exceptional personal money management will better equip us for

your newfound student’s financial decision.

The study conducted by the researchers explains the assessment among the college of

business administration students particularly in Capitol University where the floated

questionnaire were disseminated. The researcher took three factors namely the financial

knowledge, financial attitude, and financial behavior. Systematically, questions stipulated on the

questionnaire helped the group conceptualize and succeed in the study and found particular

factor of the most student of the university. Some of the important aspects tackled in the

questions were ‘What is the level of Financial Knowledge, Financial Attitude and Financial

Behavior and Practices of College Business Students in Capitol University and other institution.

Significantly, this study gives benefit to the readers in general because the knowledge,

attitude and behavior were studied, assess and measured. Moreover, the research data were

gathered from the 123 respondents (The researcher used 30 % requirements to determine the

ideal sample size for the population of Capitol University Business Administration College
Students)whom questionnaire were floated thus, certain number per department/ college were

systematically implemented.

Conclusion

Based from the results of the study, the researchers found out that there is a low financial

knowledge among CU Business College Students. And that 4th and 3rd year students have higher

financial knowledge when compared to 2nd year and 1st year that had low financial knowledge

since they were not otherwise exposed to personal and consumer finance concepts yet. The

researchers also conclude that financial knowledge affects the financial behavior and practices of

an individual. However, a positive financial attitude does not always imply a prudent financial

behavior.

Recommendations

The following recommendations are presented:

 A considerable effort must be made to raise the student's financial knowledge through

creating programs (e.g encourages students to engage in personal savings) that would aim

at increasing individuals’ financial knowledge and ability into practice.

 . Inclusion in money management lectures, workshops and seminars those topics wherein

participants got low scores.

 Strict implementation and evaluation of the money management lectures, workshops and

seminars provided by both institution and the department.

 Parents should be likewise informed of the programs implemented by the institution and

department.
References

Marsh B.A. (2006). Examining the Personal Attitudes, Behaviors, and Knowledge levels of First-

Year and Senior Students at Baptist Universities in the State of Texas. [Accessed online]

Wong B.A (2013). Practices of Savings Among Students. [Accessed online]

Danes M.S. and Hira K.T. (1978). Money Management Knowledge of College Students.

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Nick A.H. (1997). Money Management Behaviors of Traditional-Aged College Freshmen and

Sophomores: A Qualitative Study. [Accessed online]

Akinyede O.M. & Owolabi A.O. (2000). Financial Literacy and Money Management Among

Tertiary Institution Students. A study of selected universities in Osun-State, Nigeria.

[Accessed online].

Masud J. (2004). Financial behavior and problems among university students: Need for financial
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Rob A.C. and Sharpe L.D. (1993). Effect of Personal Financial Knowledge on College Students’
Credit Card Behavior. [Accessed online]

Salumintao G.M.A. (2017). Survey Questionnaire used in this study.

 They concluded that "students had low levels of knowledge in insurance, credit cards, and

overall financial management areas. These are topics that would be most appropriate for

inclusion in money management lectures, workshops and seminars" (p. 15). In general, Danes

and Hira believed there to be a discrepancy between what college students wished they knew

about personal finance and what they actually seem to know.

A considerable effort must be made to raise the student's personal-finance knowledges [sic]

even more"

Undergraduates needed better skills and understanding in basic matters of personal and

consumer finance. In particular, freshmen and students who were not otherwise exposed to

personal and consumer finance concepts needed the most improvement.

Undergraduate students at BYU possessed adequate information money management as it

related to insurance, sales taxes, debit and credit cards; however, they did not have adequate

information about net worth, interest calculations, borrowing and investing.

"a considerable effort must be made to raise the student's personal-finance knowledges [sic]

even more" (p. 116).

"students had low levels of knowledge in insurance, credit cards, and overall financial

management areas. These are topics that would be most appropriate for inclusion in money

management lectures, workshops and seminars"

they are exposed to a limited number of financial issues related to general knowledge,

savings and borrowing, and insurance – and also from a systematic lack of a sound personal

finance education in college curricula.

 Participants strongly agreed that savings is important and yet they do not have enough

knowledge about it.

 The CU Business College students are low in general financial knowledge, strong in

financial attitude and freshmen had better financial behavior and practices compared to

other levels. Furthermore, the results contradict the study of Chen and Volpe (1998):

“those students with more years of college had higher financial knowledge scores than

students with few years of college.”

 Researchers also acknowledge Ramsey (2003) in his study that it doesn’t mean you are

financially literate does not always implies that you have better financial behavior.

 Base on the results, first year students have better financial behavior and practices among
other levels.
 The respondents know the importance of savings, but they don’t know how to engage in
practical savings.
 The researchers conclude that financial knowledge of an individual affects their financial
behavior and practices.
 Positive financial attitude does not always follow prudent financial behaviors.
 Participants have viewed savings as important but they lacked commitment or the
knowledge needed to sustain savings initiative.
 ABSTRACT

The researcher decided to do this research is that to be able to know, what is the level of

Financial Knowledge, Financial Attitude and Financial Behavior of College Business Students in

Capitol University? Second is that, which has better financial practices base on groups among

College Business Students in Capitol University? The researcher conduct sets of questionnaire

among (123) respondents in the college business students in capitol university, the test for their

financial literacy, financial attitude and financial behavior and practices.

The researcher found out those Capitol university students is weak in financial behavior

and practices as reflected by the overall mean of 2.58. Result show that the participants often

follow a weekly or monthly budget, do comparison shopping (especially prices) and save money

for emergency purposes. This indicates that participants were somehow wise in terms of

handling their finances. Most of the participants responded that they somewhat practices in

borrowing money from family relatives, difficulty in managing their money and always paying

their living expense on time. This concerned where money is being spent. The researcher also

found out that in terms of financial attitude it is evident that participants agreed that written

financial goals helps them determine priorities in spending money and that a written is absolutely

essential. the result also shown that participants give more importance in saving (item #3) rather

than buying things for their happiness (item #6). Almost of the participants strongly agreed in

writing financial budget, savings and spending less than their allowance/income is important.

The researcher also found out in the financial knowledge that (52%) had low financial

knowledge and (44%) had average financial knowledge. Only 2.44% had a very low score in

financial knowledge and 1.63% got high score in financial knowledge. It implicates that Capitol

University Business College Students were struggling with their personal finance concepts.
 This implicate that Capitol University Business Student they know what is the important

of saving into their life, but engaging saving while studying in doesn’t give them priority to start.

This result help to determine the reason of their financial knowledge, practices and

behavior to which part of the factors were going to have progress, improvement in Capitol

University College of Business Student. It gives also significant to researcher and the readers to

determine their self how they manage their financial budget is they have this kind of behavior

and best practices? Now try to reflect by itself and have your conclusion to your decision and

recommendation to itself how will you manage your financial budget.