Financial Literacy and Financial Stress among College Students within Davao Region

Financial stress among college students is a significant concern, stemming from various factors that have an immense effect on mental health. This research aims to explore the relationship between financial literacy and financial stress, as well as the potential predictors of financial stress related to financial literacy, including subscales of spending habits, saving habits, and financial knowledge. A total of 368 individuals participated in the study, selected through a simple random sampling method.

The Spearman’s rho coefficient indicates a positive correlation between the variables, leading to the rejection of the null hypothesis. The study reveals that students exhibit a high level of financial knowledge and moderate spending and saving habits, indicating moderate financial literacy. Additionally, respondents exhibited a moderate level of financial stress, with moderate levels of affective and relational stress, and a low level of physiological response.

Moreover, linear regression analysis showed that saving habits (p<0.05) are a significant predictor of financial stress, implying that they have a substantial influence on individuals' financial stress levels. This study suggests that increased financial awareness among students with strong saving habits may heighten sensitivity to financial pressures, leading to higher stress levels. Understanding these dynamics can inform the development of financial education programs that address both saving strategies and stress management. Further research is needed to explore the underlying causes of elevated financial stress in individuals with diligent saving practices.