The Credit Association of South Africa is warning consumers against gambling with borrowed money or essential household funds, as online betting raises concerns about financial distress.
The warning follows research from the Solidarity Research Institute indicating that online gambling activity in South Africa increased by 390% between 2021 and 2025.
According to the research cited by CASA, the expansion has been driven partly by the accessibility of gambling platforms through mobile phones and widespread advertising.
CASA says the trend is particularly concerning at a time when many South African households are struggling with rising living costs, debt repayments and financial uncertainty.
Leonie van Pletzen, Chief Executive Officer of CASA, urged consumers to protect money allocated to essential household expenses.
“Never use funds to gamble that are designated for necessities like rent, food, transport, or utility bills,” said van Pletzen.
She also warned against using credit cards, personal loans or money borrowed from family and friends to finance gambling.
The association is concerned that some consumers increasingly view online betting as an opportunity to supplement their income or escape financial difficulties.
However, using borrowed money to gamble can deepen existing financial pressures, particularly when individuals attempt to recover previous losses by placing additional bets.
“Using credit to gamble creates a dangerous cycle,” van Pletzen explained.
“When people use money they do not have in an attempt to recoup their losses, they risk accumulating high-interest debt as a result.”
CASA highlighted the potential consequences for consumers’ credit records and long-term financial wellbeing.
Although gambling itself does not directly determine a person’s credit score, financial difficulties resulting from gambling can affect their ability to meet repayment obligations.
Missed loan repayments, unpaid accounts and defaults may be reported to credit bureaus, potentially damaging a consumer’s credit history.
Applying for additional credit to cover gambling losses can create further financial pressure, particularly where borrowing costs and interest charges continue to accumulate.
Van Pletzen noted that applications for new credit facilities may also result in credit enquiries that can temporarily affect a consumer’s credit profile.
Beyond the immediate financial consequences, CASA warned that gambling with borrowed funds can contribute to harmful gambling behaviour.
Repeatedly attempting to recover losses may lead to escalating debt, increasing stress and difficulties meeting essential household responsibilities.
The association said these consequences can extend beyond individual gamblers, affecting families who depend on shared household income for food, accommodation, transport and other necessities.
“The significant increase in online gambling is deeply concerning, as it means that more ordinary South Africans are losing their hard-earned money,” said van Pletzen.
“Households are already struggling to keep up with rising costs and inflation, and when using credit to gamble, their families bear the consequences.”
CASA is encouraging consumers to prioritise essential expenses, manage existing debt responsibly and avoid treating gambling as a source of income.
The organisation also advocates responsible lending practices and financial inclusion within South Africa’s credit industry.
Its warning highlights the importance of financial education and informed decision-making as digital gambling platforms become increasingly accessible.
For households already experiencing financial strain, avoiding additional borrowing for gambling can help reduce the risk of further debt and protect money needed for everyday living.
Van Pletzen concluded with a straightforward message to consumers.
“Do not spend what you cannot afford to lose.”
