New research published today (21 March) found that 62% of young adults (aged 18-24) think brands do not educate young people enough on the risks of credit.
An additional 66% also felt companies aren’t transparent about the pitfalls of the credit options they offer.
The study was conducted by media agency UM, in collaboration with suicide prevention charity Campaign Against Living Miserably (Calm) and Moneysupermarket, as part of the Money Talks 2025: The Youth Tax report.
The research, which surveyed 1500 young adults, found 27% were in debt and one in ten have experienced suicidal thoughts as a result.
Simon Gunning, CEO of CALM, said: “We know there’s a link between debt and suicidal thoughts, but young people are 77% more likely than the total population to have experienced them over money worries. Given the numbers of young adults currently in debt, these figures are truly alarming.”
The research also showed that 50% of respondents had been encouraged by brands to use credit options to pay for goods.
Subscribe to Marketing Beat for free
Sign up here to get the latest agency-related news sent straight to your inbox each morning
Olivia Wilton, Insight Manager at UM London, said: “Social media campaigns are vital to brands because they need to be where those young adults are, and we’ve recently seen announcements that some major brands are moving to influencer-led strategies.
“However, social media needs to be handled carefully to prevent more young people slipping further into debt.”
The research also found 56% believed financial brands tend to encourage young people to take out loans or credit.
While 52% felt pressure from social media to buy things to “fit in”, and 43% of respondents felt like they were under pressure to buy more than they could afford to keep up with lifestyles or influencers.
This research follows the Money Talks 2024 research study which found four in 10 young people have been targeted with adverts encouraging them to use credit options.
Lis Barton, chief customer officer at MoneySuperMarket, added: “We’re proud to partner with CALM to help young people look after their finances and their mental health. Our online Money Talks hub is full of practical support about how to start conversations about money and help young people take control of their finances.”
