| Abstract | The recent subprime crisis in US shows the vulnerable economic development due to the significant increase in the household debt. After the crisis, many countries around the world are concerned more about household debt and financial education. In Thailand, a personal debt problem has occurred widespread throughout the country; especially northeastern region of Thailand has the second most proportion of
expenditure per income. As a result, people in this region have the least saving or the lowest debt repayment. The researcher conducted a questionnaire survey of factory workers in Nakhon
Ratchasima. The research study applied multiple linear regression analysis and found
that female, older age, married with children, low education, and low income have
low financial literacy level. From ANOVA testing, low financial knowledge brings
about poor financial behaviors such as less saving amount, less saving frequency,
higher borrowing amount, higher borrowing frequency, higher borrowing rate, and
higher illegal sources of fund. From asking their opinions, people prefer to acquire
additional knowledge about investment, saving, insurance, and borrowing from mass
media, conversations with family or friends, seminars of organizations, the Internet, books, and brochures by bank.
In Thailand, personal finance does not teach in the school or the university. As a
result, financial literacy should be educated in diverse financial topics related to
inadequate knowledge through various institutions in the society so as to promote financial sustainability in the long run. |