“Beyond the Transaction”: How Student Knowledge and Experiences Shape Their Payment Methods

Abstract: This study examines how students’ academic capital, knowledge, and attitudes toward mandatory fees, and university knowledgeg of financial structures influence their financial behaviors, specifically payment methods, within higher education system located in the southwest. Amid record enrollment of students in the southern region—including notable increases among African American/Black, Asian, and Latinx students—there remains limited understanding of how students’ experiences influence their navigation of complex institutional financial structures. Using the SKAFE (Student Knowledge Attitudes of Fees and their Engagement) survey and the Academic Capital framework, we examine the predictive power of institutional knowledge, academic capital, and demographic factors on students’ use of scholarships, grants, and loans. The study leverages a unique institutional context: the system offers wide spread merit based aid and unique fee structure for all institutions within the system. The analyses will employ ordinal and multinomial regression models to evaluate 176 student responses. Findings will extend current research by illustrating how pre-college experiences and institutional awareness affect students’ financial decisions. This study has implications for institutional policy and financial aid equity, particularly for historically marginalized populations in higher education.