IMPACT OF FINANCIAL LITERACY (FL) AND ACCESS TO BANKING SERVICES (AC) ON FINANCIAL WELL-BEING (FWB): AN EMPIRICAL STUDY

This paper aims to examine the mediating role of AC between the financial literacy (FL) level and financial wellbeing (FWB) of select individuals residing in National Capital Region of India. The sample study considers 476 conveniently selected individuals. The authors' suggest that FL helps in enhancing financial knowledge and in developing skills of individuals so that they can compare and choose best finance oriented products and services which ultimately increase access to banking services. Thus, results demonstrate that without AC, FL alone can't enhance the level of FWB among individuals residing in National Capital Region of India. No doubt, prior studies have explored association between FL and FWB; however, the mediating role of AC within this domain has remained unexplored. Findings will enable Governments and policymakers to target vulnerable groups and design financial strategies and policies to increase their FL level which increases their access to banking services which ultimately help in advancing the level of FWB. The study ignores the qualitative study through interviews. Further study focuses only on one dimensions of financial inclusion, thus ignoring other dimensions.