Quiz: University students – how financially savvy are you?

29 Nov 2019

The transition from high school to university can be daunting. Students aren’t just adjusting to a new academic workload (and for international students, foreign ways of learning). For the first time, they’re assuming the role of an adult who can manage a budget and pay their bills on time, on their own without any guidance.

Reports suggest many university students struggle financially, sometimes due to personal circumstances or poor money management, among other things.

But students aren’t to blame. Critics and educators have long argued that financial literacy – or knowledge that helps us make better decisions about money – should be taught in schools to better prepare students for adult life.

Despite this lack of knowledge, university students may think they have their finances under control. But are you, really? Do you mull over major purchases or are you an impulse shopper? Do you swear by a monthly budget? Are you financially savvy?

Take our quiz to see how well you fare:

Which of the following can hurt your credit rating?

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Paying your bills late

Not paying your bills

Lowering your credit limit

All of the above

Correct! Wrong!

Credit card companies often offer numerous perks to card holders. Should you consider getting one?

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Of course - with so many cashback rewards, I’d be a fool not to get one and start swiping.

No - credit cards are bad as they encourage you to spend money you may not have.

It’s something worth considering as it can build my credit history if I’m responsible with it, and can pay the full balance each month promptly.

Correct! Wrong!

What are some of the essentials university students should consider budgeting for each month?

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Food, textbooks, rent/room and board, school supplies, transport, entertainment and emergency funds

Food, textbooks, rent/room and board, school supplies and transport

Correct! Wrong!

Ideally, what should cash-strapped students avoid spending their money on, whenever possible?

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Buying a car, textbooks at the full price and renting a luxury student apartment

Daily takeaways (coffee and eating out) and vices such as cigarettes/e-cigarettes

All of the above

Correct! Wrong!

Painful financial truths: which of the following statements have some truth to them?

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Living below your means means suppressing your ego and not caring about keeping up with appearances with branded goods/clothes and new gadgets

Pick a part-time job you may not necessarily be passionate about, but pays a fair wage

Not all debt is bad. Realistically, you might have to borrow at some point to make some headway in the modern world, such as getting a loan to finance your university education, so long as you keep your loan at a minimum, and repayments in check