A Study on Financial Literacy and Credit Card Usage Behavior Among Urban Adults

Abstract

In the era of digital finance and consumer credit expansion, financial literacy has become an essential life skill. This study examines the influence of financial literacy on credit card usage behavior among urban adults in India. Using stratified survey data from 400 respondents across four age groups, the paper analyses key behavioral patterns such as credit card ownership, repayment habits, and spending purposes. The findings indicate that while financial literacy levels are relatively high among younger adults, responsible credit behavior such as paying off the full balance monthly is more prevalent in older age groups. A significant gap between awareness and application is observed, especially in the 18–25 age group. The study underscores the need for targeted financial education programs and credit behavior interventions to bridge this literacy-behavior divide. Visual representations including tables, bar graphs, and pie charts are used to highlight trends and correlations effectively.