Financial capability factors, emotion regulation, and financial information source

Purpose This study explores how financial capability factors and difficulties in emotion regulation shape individuals' preferences for financial information sources across three financial tasks: general money management, savings and investments, and credit and borrowing. It aims to uncover the cognitive and emotional drivers behind financial information-seeking behavior. Design/methodology/approach Data from 463 US adults were analyzed using probit regression models to examine the associations between financial capability factors, emotion regulation difficulties, and information source preferences. Robustness checks were conducted. Findings Preferences for financial information sources varied by financial task. Positive financial attitudes and behaviors increased reliance on family members for both general money management, savings/investments, and credit/borrowing, while objective financial knowledge increased the likelihood of using financial professionals for money management and savings/investments. Conversely, higher objective knowledge reduced reliance on social media for credit/borrowing decisions. Emotion regulation difficulties also played distinct roles. Lack of emotional awareness and impulse control difficulties increased reliance on family members for money management; lack of emotional clarity increased reliance on family members for credit/borrowing; lack of emotional awareness and nonacceptance of emotional responses reduced use of financial professionals for savings/investments; and lack of emotional awareness reduced reliance on financial institutions for credit/borrowing but increased reliance on social media for this task. Originality/value By integrating financial capability and emotion regulation frameworks, this study reveals that both cognitive and emotional factors shape financial information-seeking. Findings highlight the need for targeted financial education and counseling interventions that address both cognitive and emotional barriers to improve financial decision-making and well-being.