Debt Counsellors Warn Against Black Friday Credit Buys
National Debt Counsellors urged South African shoppers to weigh January repayments before using buy now, pay later options during Black Friday sales.
Updated on Nov. 8, 2026 in Couponing
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Is now a good time to buy big-ticket items on credit during Black Friday?
National Debt Counsellors urged South African shoppers to weigh future January debt before making Black Friday purchases on credit. Peach Payments reported that buy now, pay later transaction value rose 753% over the 2025 Black Friday weekend.
Why it matters
Many households are already managing higher borrowing costs and the rising cost of living, and the South African Reserve Bank raised interest rates twice in 2026. Discounted purchases paid in instalments can cost more than their sticker price once interest, fees and credit insurance are added.
Peach Payments reported a 753% increase in buy now, pay later transaction value over the 2025 Black Friday weekend, compared with the previous year. A R5 000 item reduced to R4 000 can cost R5 400 when paid in instalments with interest, fees and credit insurance included.
The players
National Debt Counsellors
A South African debt counselling body that advises consumers on managing over-indebtedness and repayment obligations.
Peach Payments
A South African payment processing company that provides online payment and buy now, pay later services to merchants.
South African Reserve Bank
The central bank of South Africa, responsible for monetary policy including setting the benchmark interest rate.
The details
Purchases made on credit or through buy now, pay later arrangements can be paid off in instalments, and consumers can increase credit card balances or accept higher store account limits. In one example, a household with R800 left monthly after essentials could face R1 500 in new monthly repayments after buying a discounted television on a store account, leaving it R300 short each month by February.
Timeline
19 November: South African Reserve Bank final interest rate decision for 2026.
27 November: Black Friday.
January: School fees, debit orders and other expenses return.
Season Trajectory
The South African Reserve Bank raised rates twice in 2026, lifting the prime lending rate to 10.75% in September. Black Friday credit use now lands against that backdrop of higher borrowing costs, with its final rate decision for the year scheduled for 19 November.
Shoppers can check whether January repayments fit their monthly budget before committing to instalment plans. Comparing the full repayment total, including interest, fees and credit insurance, against the cash price shows the true cost of a discounted purchase.
The takeaway
A discount only saves money if the full repayment cost stays below the cash price. Before using buy now, pay later, check whether your January budget can absorb the instalments.
What happens next
The South African Reserve Bank's final interest rate decision for 2026 is scheduled for 19 November, and school fees and debit orders return in January.
Further reading
For more on managing spending around seasonal sales, explore our Couponing section.
Source note: This article includes information reported by IOL.
Live Poll
Is now a good time to buy big-ticket items on credit during Black Friday?
