Digital and financial literacy as determinants of digital payments and personal finance

This work documents that, across countries, the use of digital payment tools and platforms is associated to higher digital literacy, at all levels of financial literacy. More informed personal finance choices, instead, are associated to higher financial literacy, at all levels of digital literacy. The results from this descriptive analysis suggest that digital and financial literacy should be considered together when assessing the implication of digitalization for individual investors who can access digital financial products and markets in the absence of financial literacy. • Digital (DL) and financial literacy (FL) are positively associated across countries. • They should be considered together when assessing the implication of digitalization. • The use digital payments and tools is associated to DL, at all levels of FL. • Informed personal finance choices are associated to FL, at all levels of DL. • Increasing access to digital finance through DL, without FL, could be dangerous.