Debt Builds Lives, But Six In Ten New Zealanders Struggle

Key stats:

• Debt Awareness Week runs from 23 to 29 March 2026 and around the end of March each year.
• 60% of New Zealanders have struggled with debt or are struggling now.
• 56% have a neutral or positive view of debt, including 30% who say it has helped them achieve important goals.
• Among those who have struggled with debt, more than a third told no one and suffered in silence.
• 86% say people feel embarrassed to admit they are struggling with debt and 69% believe most people would judge someone who cannot manage their debt.

Six in ten New Zealanders have struggled with debt or are struggling now, according to new research released for New Zealand’s first Debt Awareness Week, from 23 to 29 March. The research shows debt is a normal, generally enabling part of life for many New Zealanders, but debt stress is widespread, and shame, stigma and whakamā mean too many people are still struggling in silence.

The research, carried out by Talbot Mills Research, was commissioned by DebtManagers, New Zealand’s leading purchaser of difficult debt. The company specialises in socially responsible debt management, helping rehabilitate people through fairer repayment plans with no fees or excessive interest.

DebtManagers GM Commercial, Isaac Manase, says, “Debt Awareness Week is about creating a healthier, more open and supportive conversation about debt in New Zealand.

“Debt is an important part of everyday life. It can help people buy a home, get a car, manage unexpected costs, support their family, and invest in education. But our research also shows debt stress is widespread and too many people are struggling alone.

“Debt Awareness Week is about recognising what debt can enable, while also being honest about what happens when it becomes difficult and how we make it easier for people to seek support without judgement,” says Manase.

Debt is common, but struggles are widespread

Debt plays an important role in many New Zealanders’ lives, with 56% holding a neutral or positive view of debt, including 30% who say it has helped them achieve important goals. New Zealanders mostly use debt to buy a home, cover unexpected costs, and buy a car.

At the same time, 60% of New Zealanders say they have struggled with debt or are struggling now, including 28% who are currently struggling and 32% who have struggled in the past. The burden is not evenly spread, with younger people and renters more likely to be struggling, and 74% of Māori respondents have struggled with debt or are struggling now.

Manase: “Debt can be a powerful enabling force in people’s lives, but life also happens. People lose jobs, relationships break down, health changes, and unexpected costs come up. When that happens, people can fall behind quickly and the effects can compound.

“What stands out is just how common debt stress is. It is not a fringe issue. For many, it is a lived experience.”

Too many people are still suffering in silence

Among those who have struggled with debt, 63% said they spoke to someone, most often friends or family. Only 25% said they spoke to a financial adviser or community support service, such as a financial mentor.

More than a third said they told no one.

This highlights the emotional weight that can come with difficult debt. 86% say people feel embarrassed to admit they are struggling, 69% believe most people would judge someone who cannot manage their debt, and 67% think there is a lot of shame in New Zealand around debt problems. People who are currently struggling with debt are more likely to expect judgement and shame and less likely to say they find it easy to talk openly about money worries.

“Even though 85 per cent of New Zealanders say debt stress is something most people experience at some point, many people still feel embarrassed to admit they are struggling. That tells us shame and stigma are making a hard situation even harder.

“We want Debt Awareness Week to help change that. Seeking support should not feel shameful, and nobody should feel they have to deal with debt problems alone,” says Manase.

Shining a spotlight on debt

Debt Awareness Week is designed to bring debt into the open: What it enables, what happens when it becomes difficult, where people turn for help, and how New Zealand can build a healthier conversation about debt.

“Our message this Debt Awareness Week is simple: Let’s recognise the good things debt can enable in our lives but seek help when it is needed. There are free financial mentors around the country, and companies also have ways they can support people who are under pressure.

“Debt is common in our lives. We need to be able to talk about it more openly, both the opportunities it can create and the pressure it can cause, so people can get help earlier and without judgement,” says Manase.

Research notes:

• Results in this report are based upon questions asked in a Talbot Mills Research nation-wide online survey. The basis of the sample is n=1092 nationally representative respondents in New Zealand 18 years of age and over.
• Interlocked age, gender and regional quotas were used during sampling. Weighting was further used to enhance how closely the results represent the adult population of New Zealand.
• The maximum sampling error for a sample size of 1092 at the 95% confidence level is ± 3.1%.
• Fieldwork for the questions in this report was conducted between the 27th February to the 9th March 2026

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