Senzokuhle Doctor Mbatane, Mamekwa Katlego Kekana
Abstract
The rise of financial technology (FinTech) has revolutionised the financial services sector, enhancing efficiency and expanding financial inclusion. However, the effective use of FinTech requires increased financial literacy among users to prevent scams and errors. Despite the rapid growth of digital financial services (DFS), digital financial literacy (DFL) has lagged, particularly in South Africa. This study aims to analyse DFL’s role in university students’ use of FinTech products and services in South Africa. A quantitative method was utilised, with 375 structured questionnaires distributed to university students through convenient sampling. This study used descriptive statistics, correlation, and regression analysis using IBM SPSS version 29.0 for data analysis, where reliability was assessed using Cronbach’s alpha. Structural equation modelling using IBM AMOS version 29.0 was conducted to estimate the relationship between the research variables. The results indicated that most students possessed a high knowledge level of digital financial products and services and an awareness of digital financial risks. However, students’ knowledge of digital financial risk control and consumer rights and redress procedures was moderate. Despite this, most students are willing to use FinTech products and services and plan to continue. The study found that students who better understand digital financial products, risk control, and consumer rights are more likely to use FinTech services. Interestingly, awareness of digital financial risks does not significantly impact the use of FinTech products and services. The results contribute to the existing body of knowledge by providing new insight into student digital financial literacy and Fintech use in South Africa. The study recommends incorporating DFL into the academic curriculum to improve understanding and increase FinTech use.