Financial Privacy: The Impact Of Financial Literacy

Financial literacy can be defined in many ways and terms. Hasmet Sarigul said that financial literacy is the understanding on how to manage money and its uses in daily life. (Sarigul, 2014). He also stated that financial literacy able to affect people’s saving, borrowing, investing and managing their financial affairs. Financial literacy will help to improve their understanding on financial matters which they will be able to make a wise decision regarding financial matters. Financial literacy also can be defined as the ability to make decision on how to use and manage the money. ( Albeerdy & Gharleghi, 2015). Someone with a low level of financial literacy will affect their decision making on financial matters and this will lead them to many problems such bankruptcy. In the study of Sanjib Das, he defines that financial literacy is the capability of a person to read, analyse, manage, and communicate about the condition of ones’ personal financial that will give impact to their material wellbeing. (Das, 2016). We can sum up that financial literacy is the ability of a person to manage their money usage in order to avoid financial problem occurred. It is important for young people to have a high level of financial literacy so that they can handle and manage their wealth wisely to avoid bad effect. There are many researchers that have done

Their studies are to analyse the determinants of financial literacy among college students in Malaysia and 105 completed questionnaire was collected among the college students. Their research independent variable are education, money attitude and financial socialization agents. Their finding shows that there is significant relationship between money attitude and education towards financial literacy. Nonetheless, it was found that financial socialization agents do not have any impacts on financial