• Version
• Download 17
• File Size 1.29 MB
• File Count 1
• Create Date 9 June 2025
• Last Updated 9 June 2025

The Role of Social Media in Shaping Personal Finance Habits

Dr. Neelima Singh Thakur¹, Divya Rathore²
¹Amity Business School, Amity University Chhattisgarh
² Amity Business School, Amity University Chhattisgarh
Corresponding Email: divyadipa07@gmail.com

Abstract:
Social media has become a significant factor in shaping people's financial behavior in the digital era, especially when it comes to personal investing. This study investigates how social media sites like YouTube, Instagram, Reddit, TikTok, and Twitter are influencing user behavior and decision-making on investing platforms. Investors now mostly rely on online forums, influencers (sometimes referred to as "finfluencers"), and peer-generated insights for guidance as financial knowledge becomes more accessible. The study looks at how social media contexts magnify emotional biases including herding behavior, FOMO (Fear of Missing Out), and overconfidence, which frequently result in rash or poorly thought-out investing decisions. While social media offers valuable opportunities for financial education and inclusion, it also poses risks, such as misinformation, manipulation, and lack of regulation

Keywords:

  Social Media, Investment Decisions, Personal Finance, Financial Behavior, Influencers (Finfluencers), Misinformation, Financial Literacy, Retail Investors, Behavioral Finance, Online Platforms