One-in-five teachers reliant on BNPL

More than a quarter (26%) of teachers say they wished they’d never used BNPL, with 14% unable to repay the BNPL loan and pushed into debt.

Finances of teachers under huge strain with more than half (52%) admitting they’re unable to afford an unexpected expense of £100.

Research from responsible lender Creditspring also shows that 26% of teachers are expecting to have to rely on food banks within the next six months.

More than a quarter of teachers (26%) say they wish they’d never used BNPL options, with 14% admitting they’d were unable to meet repayments and that this pushed them into debt.

The research also indicates that finances of teachers across the UK are in a perilous state. More than a third (34%) have run out of savings and are reliant on credit to make ends meet, whilst 23% have less than £200 left in their savings to act as a buffer against rising costs.

The research reiterates how bleak many teachers consider their financial future – nearly six in ten (57%) admit they’re terrified about their financial position, 41% say they will struggle to afford rent or mortgage payments within the next six months, and over a quarter (26%) believe their finances will become so stretched that they will be reliant on food banks.

Given the stark figures, it’s no surprise that two in five (40%) of teachers are considering a move into the private sector in search of a pay increase.

Neil Kadagathur, CEO and co-founder of Creditspring, comments: “It’s hugely concerning that those tasked with educating the next generation – one of the most vital jobs in our society – are themselves amongst the most financially vulnerable. They shouldn’t be reliant on credit products such as BNPL, and risking long-term future debt, simply to afford essentials such as food.

“Teachers’ finances are in a perilous position, with many believing that things are only going to get worse over the next few months as savings pots dwindle away to nothing and they’re faced with no option except to seek credit to survive or relying upon food banks.”