Financial Literacy Level on College Students: A Comparative Descriptive Analysis between Mexico and Colombia

This main objective of this study is the measurement of financial literacy in college students from Mexico and Colombia, using an instrument that was designed based on the available literature review and which was applied to a sample of 224 students. It was possible to find slight differences between the two countries, but the results as a whole were concerning as they showed a low level of financial literacy in the analyzed population, specifically in the topics of retirement planning, inflation, credit (credit card usage), savings and investment and risk diversification. This paper also proposes a questionnaire considering seven financial topics which measures the level of financial literacy and can be replicated in other study populations. It is important to point out that college students are an important opportunity to focus the efforts on financial literacy, since they are in a crucial stage of their lives when they are beginning to get into the work force or will do so soon, which is why this information can be used in a near future and by having it they can use financial instruments in a proper manner and for their benefit, helping them to achieve their financial goals and avoid financial problems during their life, contributing to their future wellbeing and society in general.