July 31, 2025
RED FM News Desk
A growing number of young Canadians are falling into debt, with new research highlighting how financial stress and easy access to credit are driving more people aged 18 to 34 to seek help.
Mark Kalinowski, a partnership and education specialist with the Credit Counselling Society, says the pressure on this age group is mounting.
“That 18-to-34 age group is under a tremendous amount of pressure,” Kalinowski said, pointing to rising living costs, student loans, and stagnant wages as major factors.
One 20-something Calgarian shared how the need for a new MacBook led her to use a ‘buy now, pay later’ (BNPL) loan — a type of financing that allows consumers to split purchases into installments at checkout for items like electronics, travel, and clothing.
“It helped manage the payment,” she said. “My term was two years, but I paid it off in one because I stayed on top of it.”
But not everyone has the same experience. The Credit Counselling Society says young adults now make up more than 25 per cent of their clients, and around 40 per cent of them have used BNPL services. These types of loans often come with hidden costs and high interest rates if payments are missed or extended.
“It’s easy to underestimate the impact,” Kalinowski warned. “You think it’s just a couple of small debts, but over time they eat into your cash flow and make it harder to save. If something unexpected happens, there’s no financial cushion.”
Another Calgarian voiced deeper concerns about the growing popularity of these services.
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