The generation shaping the future of money

By almost every measure, South Africans under the age of 35 are leading a profound shift in how money moves through the economy.

The 2026 Standard Bank Youth Barometer shows they have embraced digital payments at a pace that far exceeds older generations. They are more likely to use digital wallets, virtual cards and QR code payments. For this generation, tap-to-pay isn’t an alternative payment method – it’s the default.

But this isn’t just a story about technology. It is a story of two generations shaped by different worlds.

The worlds that shape our relationship with money

The way people think about money is often shaped by the world in which they grow up.

For many South Africans born before 2000, financial life evolved in an era where cash dominated, bank cards were physical, banking took place in branches, and trust in financial institutions was built through face-to-face interactions.

Managing money often meant visiting a branch, withdrawing cash, keeping paper records and planning around banking hours.

For younger South Africans, the experience has been very different. Those born after 2000 grew up alongside smartphones, social media, online shopping and app-based services.

Financial services became increasingly accessible through mobile devices, information was available in real time, and transactions could be completed instantly.

As a result, technology did not simply change how young people managed money – it also changed what they expected from financial services.

These differences matter because people’s relationship with technology is often shaped by the environment in which they grow up.

Research consistently suggests that technologies adopted during people’s formative years often become innate behaviours later in life.

Younger consumers have spent much of their lives with digital technology at their fingertips. Older consumers, by contrast, had to adapt to these technologies in adulthood, when habits and routines were already established.

It is therefore unsurprising that younger consumers tend to embrace new payment technologies with curiosity and a willingness to experiment, while older consumers do so gradually – and often with scepticism.

Nowhere is this more evident than in the growing use of digital payments.

The Youth Barometer shows that although under-35s account for only 16% of Standard Bank credit card customers, they make up 29% of digital wallet users.

They are also significantly more likely to use virtual cards, contactless payments and QR code payments. For older consumers, digital payments are often an additional option. For younger consumers, they are the preferred way to pay.

The distinction is subtle but important – older generations tend to ask ‘Can I trust this?’, while younger generations are more likely to ask ‘Does this make my life easier?’.

Subscriptions, online shopping and the rise of invisible spending

The rise of e-commerce has further normalised digital trust among younger consumers, making them comfortable managing payments and other financial transactions entirely through a screen.

They are more willing to rely on digital security, virtual cards and online platforms, where previous generations often preferred face-to-face interactions.

Online shopping has not only replaced some visits to physical stores, but spending itself has also become increasingly automated.

Subscription services have accustomed younger consumers to recurring digital payments, creating an environment in which transactions take place seamlessly in the background.

In turn, this has strengthened trust in digital ecosystems and accelerated the adoption of virtual cards, digital wallets and other digital payment technologies.

By contrast, many older consumers came of age in a far less automated financial environment. Purchases were typically deliberate, one-off decisions made in-store, with cash or physical cards changing hands at the point of sale.

This makes the shift to a fully digital financial ecosystem a much bigger behavioural leap for them.

But the contrast doesn’t end there.

The changing role of the credit card

The behavioural differences become even more apparent when looking at how consumers use credit cards.

Historically, credit cards were viewed primarily as borrowing tools. They were often reserved for emergencies, major purchases, or periods of financial strain. That role is changing dramatically among younger consumers.

The Youth Barometer reveals that consumers under the age of 35 primarily use credit cards for everyday spending, including groceries, fuel, transport, restaurants and digital subscriptions.

Their cards function less as borrowing instruments and more as transactional tools for building credit profiles, earn higher rewards and to manage their cash-flow.

The mindset is fundamentally different. Rather than asking ‘How do I borrow money?’, many young consumers are asking ‘How can I make the money I’m already spending work harder for me?’.

This behaviour also reflects the different financial worlds in which the two generations came of age. Many older consumers began their banking journeys with debit cards and only expanded into credit products later in life. Today’s youth often experience both at the same time.

As younger consumers become the dominant economic force, the behaviours they are normalising today are likely to become mainstream tomorrow.

The evolution from cash to cards, and from cards to digital wallets and virtual payments, is already reshaping the way people transact.

The Youth Barometer suggests a similar change is taking place in how young people use credit.

Rather than viewing credit cards simply as a means of borrowing, many are using them to build their credit profiles, manage their finances more effectively, and unlock future opportunities. If this mindset continues to gain momentum, it could reshape how future generations buy homes, finance cars and invest.

The question is whether we are doing enough to understand these young consumers, what drives them, and how their financial choices could shape our world tomorrow.

Tshiamo Molanda is the head of Personal Banking South Africa at Standard Bank. 

Brought to you by Standard Bank Group.

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