FINANCIAL EDUCATION: A STUDY ON CREDIT CARDS USE AND COMPULSIVE BUYING AMONG COLLEGE STUDENTS
Universidade Federal de Juiz de Fora (BRAZIL)
About this paper:
Appears in: INTED2015 Proceedings
Publication year: 2015
Conference name: 9th International Technology, Education and Development Conference
Dates: 2-4 March, 2015
Location: Madrid, Spain
Abstract:For many decades, Brazil suffered from strong inflationary crisis and devaluation of its currency. During that period, Brazilian consumers created a short-term spending culture, using the moments of devalued currency to shop without thinking about saving and long-term investments. With the inflation control from the 90s on, savings and long-term investments regained importance for the population, which sought to ensure a better future. However, along with the economic stabilization, credit availability has increased, and it can be perceived in how easy it is to acquire credit cards and loans. As a result, Brazilians debt levels have grown over time. Along with that, debates about a greater need for financial education among the population gained strength. Thus, a survey of 211 students of undergraduate courses in Business Administration and Accounting from a Brazilian university was applied in order to find out how students deal with the use of credit card and its relationship with compulsive shopping. Their Financial Literacy level was also sought. The first contact with credit cards can occur during college, when young people are starting adult life and gaining independence. Researches related to financial education and money use are relevant today, being justified by the statistics regarding household debt and credit cards that people own. The results achieved in this research can contribute to the debates on how to insert topics related to financial education in the courses curricula.
Keywords: Financial Education, Credit cards, Compulsive buying.