Sanlam Financial Confidence Index: Credit ownership falls across major products as financial confidence holds
Key highlights from the 2026 Index:
54*: South Africa's Financial Confidence Index (FCI) maintained its highest level since the annual survey was launched in 2022, remaining statistically unchanged (2025: 53).
35: Financial wellbeing rose to a four-year high, suggesting South Africans are feeling more secure about their financial futures, however 35 remains a low number.
64% vs 49%: Nearly two-thirds feel in control of their finances, but fewer than half believe they could weather a financial setback.
Gen Z tops the rankings: Younger South Africans recorded an FCI score of 61, compared with 55 for Millennials, 49 for Gen X and 47 for Baby Boomers.
Limpopo and Mpumalanga top the national confidence rankings: The provinces recorded South Africa's highest Financial Confidence Index score at 60 each, ahead of Gauteng (55) and the Western Cape (49).
The 2026 Sanlam Financial Confidence Index (FCI), released today, has found a notable change in South Africans’ reported use of credit, with fewer respondents saying they currently have several major credit products than a year ago. Home loan ownership fell from 21% to 14%, personal loans from 34% to 29%, bank overdrafts from 24% to 20%, and vehicle finance from 19% to 16%. Store credit, on the other hand, remained steady year-on-year (60%).
The research does not establish what is driving the decline in ownership, but it does show that access to credit is not a major contributor to how respondents define financial confidence. Just 17% say being able to access credit when they need it contributes to their confidence, ranking it last behind reliable income (51%), savings or an emergency fund (48%) and manageable debt (45%).
Meanwhile, the overall FCI remained broadly stable at 54, while financial wellbeing rose to its highest level since the study began, although it is still low at just 35.
"One of the clearest findings this year is that South Africans are prioritising financial protection over financial expansion," says Lee Hancox, Head of Channel and Segment Marketing at Sanlam. "People are telling us that confidence comes from knowing they can cover their expenses, manage their debt and put something aside for the future. Access to credit is becoming less important than financial stability."
The findings emerge against a backdrop of continued pressure on household budgets. While overall confidence held steady, financial wellbeing rose from 32 to 35, its highest in four years, but even with the increase, it remains very low.
The research also highlights a tension at the heart of South Africans' relationship with money.
Almost two-thirds (64%) say they feel in control of their day-to-day finances, but fewer than half (49%) believe they could cope with a major financial setback. Financial resilience, which measures people's ability to recover from shocks such as unexpected expenses or loss of income, slipped slightly from 58 to 57.
"South Africans seem to be getting better at managing pressure, but there is very little room for error," says Kele Boakgomo, behavioural scientist and CEO of Yugrow. "The data suggests people are adapting to difficult circumstances, becoming more deliberate about financial decisions and focusing on what they can control. But many households remain vulnerable when something unexpected happens."
When asked what contributes most to financial confidence, respondents ranked a reliable income first (51%), followed by savings or an emergency fund (48%) and manageable debt (45%). Access to credit came last at 17%. Among those who value credit, most saw it as a safety net for emergencies rather than a way to fund a lifestyle.
Tshepo Mogotsi, Group Head of Brand at Sanlam, adds, “Financial security can mean different things to different people, but it’ll remain out of reach for as long as one doesn’t have a plan and a day-to-day approach to that plan. For me, it meant slowly climbing out of the black hole that was my debt obligation, with the help of professionals and my family.”
The qualitative research behind the survey paints a similar picture. Across income groups, participants consistently prioritised groceries, school fees, insurance premiums and transport costs ahead of discretionary spending. Eating out, travel and entertainment were among the first expenses to be cut when money became tight.
There are signs that South Africans are becoming more intentional about managing their money. Nearly three-quarters (74%) say they understand their financial knowledge gaps, while 65% have written financial goals. However, only 43% actively track those goals, suggesting a gap between good intentions and consistent action.
The study also highlights a generational shift. Gen Z recorded the highest overall financial confidence score at 61 and the highest self-determination score at 73. Around eight in ten Gen Z respondents have written down financial goals, and the generation is more likely than older South Africans to focus on improving earning power and seeking financial advice.Yet confidence does not always translate into peace of mind. While Gen Z leads the confidence rankings, Baby Boomers recorded the highest wellbeing score at 41, compared with 35 for Gen Z.
The research also surfaced several potentially surprising findings. Limpopo and Mpumalanga recorded the highest overall financial confidence score in the country, each at 60, ahead of Gauteng (55) and the Western Cape (49). Gen Z respondents were more likely than Baby Boomers to own stocks and shares (36% versus 14%), investment property (27% versus 14%) and even livestock investments (34% versus 9%). The findings also highlight the continued importance of community-based finance, with women significantly more likely than men to save through stokvels (55% versus 34%).
"The findings suggest we're seeing a more deliberate approach to money," says Hancox. "People are focusing less on accessing credit and more on building stability. That's encouraging. The next challenge is turning that sense of control into greater resilience, so that South Africans are not only coping with financial pressure but are also better protected from it."