Residents’ low financial literacy will affect their financial decision-making,thus decreasing their financial well-being. Based on the survey data in Shangdong Province,this paper validates the influence of rural residents’ objective and subjective financial literacy on financial decision-making respectively through mediation and regulation effects. Results indicate that:objective financial literacy has positive effects on financial market participation,insurance market participation and financial market participation attitude; subjective financial literacy has negative effects on participation in both financial market and insurance market but positive effects on the financial market participation attitude; subjective financial literacy is an incomplete mediator when objective financial literacy affects financial market participation and insurance market participation; subjective financial literacy is a moderator when objective financial literacy affects financial market participation attitude and financial market participation attitude.