Title:
FINANCIAL PERSONALITY TYPES AND ATTITUDES THAT AFFECT FINANCIAL INDEBTEDNESS

Authors:
Luksander Alexandra, Nemeth Erzsebet, Zsoter Boglarka

Volume - 2 Issue - 9, Pages - 4687-4704

Abstract:
The aim of the present study is to examine, thanks to a newly developed 36-item personality test, whether there exist typical money personality profiles within the Hungarian society and to characterize these profiles in terms of financial habits and attributes. Moreover, the personality traits and behavioral patterns of individuals' indebtedness are equally identified using a decision tree-based model. Results show seven distinct financial personality types: Economizer, Diligent, Binger, Orderly, Cannot control finances, Planner, Ups and downs. The characterization of the seven categories reveals that the combinations of the various dimensions of financial attributes have a complex effect on financial behavior, and, for instance, seemingly contradictory financial personality traits, such as overspending and making economies can go hand in hand with each other. Based on the results, making savings is primordial in the avoidance of indebtedness, while trusting one's luck and not being able to control one's own finances are risk factors.

Cite this Article:

[Alexandra, Luksander, et al. "FINANCIAL PERSONALITY TYPES AND ATTITUDES THAT AFFECT FINANCIAL INDEBTEDNESS." International Journal of Social Science and Economic Research, vol. 2, no. 9, 2017, pp. 4687-4704. September.]