Ask three different people what they would do with a little extra money, and you'll get three different answers. People don't relate to money the same way – and this is especially true for South Africa's youngest credit-active generation. While Gen Z is often talked about as a single, homogenous group, these young adults are entering the credit market with different habits and pressures.
Those differences matter – as highlighted by Sanlam's 2026 Credit Confidence Index. Based on the credit behavior of 1.1 million users of the Sanlam Credit Solutions platform, the index reveals how South Africans are managing credit. For example, comparing Gen Z user profiles from the beginning of 2025 to April 2026 showed a 37% decline in high-risk individuals, the sharpest decline of any generation on the platform.
Credit: Faith is not an emotion. It's a set of behaviors, and those behaviors look different for different people. We are seeing progress among younger users, but we are also seeing that this generation is facing financial pressures earlier than before. The opportunity is to meet young people where they are, with practical information that helps them build on their strengths and manage their blind spots.
It goes in different ways money personality. Here are three money personalities that appear strongly among young South Africans who are now entering the credit market.
ready guard
Three months after his first job, Ready Patron's first credit product isn't a credit card. Like many newly-credited South Africans, they start out with a clothing account, manage it carefully, make small, planned purchases, make payments on time and use the account to build a credit record rather than top up their salary.
They check their credit report regularly to know what's on it, but not so often that it becomes a source of stress. Discipline is the ready defender's strength, and it is reflected in his attitude towards credit.
The behavior of the prepared defender is reflected in the index, which shows that Gen Z logins have increased from 5.65% to 8.53% over the period, while credit-report guidance is one of the most common reasons for younger users to join. This shows that many young South Africans are starting to pay attention to their credit profile.
spontaneous buyer
Most of the intuitive consumer's credit is driven by in-app checkout — whether it's a pair of sneakers divided into three payments or a last-minute purchase that feels manageable because the installments seem small. Buy now-pay later options are growing rapidly in South Africa and are particularly appealing to younger consumers because they are fast, convenient and flexible.
But that flexibility also comes with risks. The intuitive buyer doesn't always see how much small commitments can add up. Three or four 'small' installment plans running simultaneously can soon stop seeming small. Because they don't always look or feel like traditional loans, they can be easier to spot. One of the most useful habits for the intuitive buyer is to bring scattered commitments into one clear view. This is where it becomes important to actively check and understand your credit profile.
generous parents
This money personality earns a steady salary, but this extends to more than just their life. They help parents, contribute to younger siblings' school fees and come forward whenever there is a family emergency. As a generous parent, his tendency to provide is a force his family can depend on. But Sanlam's 2026 Credit Confidence Index also shows why self-sacrifice needs limits.
Generous parents often put others first, sometimes even at the expense of their own financial health. It is very common for young earners to meet family expectations, and this is a major contributor to the financial stress some members of this generation already face.
The 2026 Sanlam Credit Confidence Index also shows what recovery could look like when people receive structured support. Among users who entered debt counseling before January 2025, users in the very low risk classification increased by 18.5%, while those in the high risk classification declined by 32.73%. Protecting your financial health by being a generous parent isn't selfish. This is what can allow them to continue to have the support of those who trust them.
Different personalities, equal opportunities
Behavior – and not just income – is what really differentiates money personality. And they can form even healthier credit habits with access to more information that helps them deal with financial pressures.
Sanlam's 2026 Credit Confidence Index shows that some young users are starting to view credit as a tool for long-term goals rather than just short-term spending. Gen Z home-loan taking up on the Sanlam Credit Solutions platform increased by 41.2%, indicating that this generation is starting to focus on long-term wealth creation.
We want the index to help 23-year-olds see what's impacting their scores, how much their borrowing is really costing them, and how they can build a stronger foundation for their future. Understanding how you manage money is the first step toward gaining credit confidence.
* Darko is Business Head of Sanlam Credit Solutions.
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