Financial Behavior Transformation: Evaluating Fintech as a Personal Financial Management Tool among Generation Z

Abstract: The rapid integration of Financial Technology (Fintech) into the daily lives of Generation Z has fundamentally altered payment methods, yet its impact on personal financial management remains debatable. This study aims to evaluate the gap between digital literacy and actual usage patterns of Fintech among university students, as well as its implications for their financial behavior. Using a descriptive quantitative approach with a case study design, data were collected from 30 active undergraduate students through purposive sampling. The results indicate a significant paradox: while 96% of respondents demonstrate high technical proficiency in using Fintech features, only 38% possess adequate awareness of financial risks, such as hidden fees and interest rates. Furthermore, the findings reveal that Fintech acts primarily as a "lifestyle enabler," with 73% of transactions allocated to hedonic consumption (Food & Beverage and Fashion). The study also confirms the "reduced pain of paying" phenomenon, where 65% of respondents admitted to increased impulsive buying behavior due to the seamless nature of digital transactions. It is concluded that without proper digital financial literacy, the perceived ease of use of Fintech tends to degrade, rather than improve, students' personal financial discipline.