Digital Financial Behaviour, Mobile Credit Dependency and Financial Well-Being Among Students in Polytechnics in South-West Nigeria

Abstract

Nigerian polytechnic students now manage money largely through mobile banking, digital wallets and payment apps. This study examined digital financial behaviour, mobile credit dependency and financial well-being among students in polytechnics in South-West Nigeria, and the relationships among them. A quantitative, survey-based correlational design was used, with a multistage sampling procedure yielding 240 students across six polytechnics. A validated questionnaire measured the three constructs, and data were analysed using descriptive statistics, Pearson correlation, multiple regression and structural equation modelling. Digital financial engagement was high, with 94.6% using mobile banking or digital wallets, yet 54.2% had used instant mobile credit, 32.3% reported difficulty repaying and 21.5% had borrowed to repay another loan. Financial well-being was moderate (mean = 3.12 on a 5-point scale), and 60.8% felt stressed about their finances. Digital financial behaviour was positively associated with financial well-being (r = 0.38, p < 0.001), whereas mobile credit dependency was negatively associated with it (r = −0.44, p < 0.001). Mobile credit dependency partially mediated the relationship between digital financial behaviour and financial well-being (indirect effect = −0.14, p < 0.01). The findings support financial education and consumer protection interventions for polytechnic students.