09/06/2026
If you earn more than R50,000 a month, please think twice before taking on another loan.
I am begging you: please do not take on more debt unless you absolutely have to.
New data from DebtBusters shows that people earning R50,000 or more per month are carrying almost double the unsecured debt they had in 2021.
The average person in this income group now has 8.5 credit agreements - roughly 8 or 9 separate debts to different lenders.
That's the highest level since 2017.
A high income does not protect you from a debt spiral.
It just means the spiral is more expensive.
Now, I know some of you will say that debt can be good and used as leverage.
And you're right.
But if you're talking about borrowing money to buy cash-flowing businesses, income-producing properties, or assets that generate returns greater than the cost of the debt, you are referring to a situation that applies to a very small percentage of people.
If this is the type of debt you have and are referring to, you're likely in the top 1%.
For most people, debt means credit cards, personal loans, store accounts, vehicle finance, and buy-now-pay-later purchases. These don't generate income. They simply reduce the amount of your future income that you get to keep.
The danger of earning more is that lenders are willing to lend you more. Bigger credit card limits. Larger personal loans. More vehicle finance. More accounts.
Over time, debt can grow just as quickly as income.
One number worth paying attention to is your debt-to-income ratio. If your debt repayments are consuming more than 36% of your gross monthly income, it may be time to reassess your financial commitments.
Please don't feel guilty if you're reading this and thinking, "That's me."
Guilt isn't helpful.
Most of us were never taught how debt works, how compound interest works against us, or how easily monthly payments can pile up over time.
This community isn't about judging people for past decisions. It's about helping each other make better future ones.
If you're wondering where to start:
1.List every loan you have from smallest balance to largest. Include the interest rate (%) next to each one.
2.Create a budget.
3.Allocate 10% of your income to savings and another 10% to additional debt repayments.
4.Build up your savings buffer. This helps prevent you from taking on more debt when life happens.
5.Focus all extra debt repayments on the smallest loan first while making minimum payments on the rest.
6.Once that loan is paid off, take the money that was going to it and roll it into the next smallest loan.
Small wins create momentum.
You do not have to fix everything this month. You just need to start.
If the above is overwhelming and you don't know where to start, follow me.
I'm learning too, and together we can build better financial habits, one step at a time.
Every financial journey has a starting point.
If this post helps you pause before taking on another loan, review your debts, or make one small improvement, then it has done its job.
We're all learning, we're all building, and we're all trying to become a little better with money than we were yesterday.
