Finnish mother of two faces €40,000 in debt collection after years of instalment purchases

A growing number of Finns are falling into debt due to instalment payment plans, with young adults and students particularly affected by financial strain, public broadcaster Yle reports.

Sarissa Minkkinen, a 30-year-old mother of two from Laukaa, first encountered debt at 18 when she began using quick loans and instalment plans to buy everyday items—from a bed and clothes to cosmetics and a phone. “I was bullied for years in school. I was isolated because of it,” she told Yle. “I bought myself friends.”

Within months, her debt reached €10,000. Six months later, she was in debt collection, with her credit record damaged. “It was an endless cycle,” Minkkinen said. Now, her total debt in collection stands at around €40,000, including unpaid student loans and healthcare fees. Yle has reviewed documents confirming her debt status.

Minkkinen regrets the lack of financial guidance at a young age. “Somehow, the freedom at 18 came too early. I needed support on how to manage money,” she said. Though she once reduced her debt by nearly €30,000 while employed—with a third of her salary garnished—she became unemployed again after parental leave. Her debts are now in passive collection due to lack of income.

Instalment debt doubles in five years
The phenomenon reflects a broader trend. According to Henri Hölttä, an expert at Takuusäätiö (Guarantee Foundation), which aids indebted individuals, the share of clients struggling with instalment debt has doubled in five years—from 10% in 2020–2021 to 24% in 2023.

“People are using instalment plans for daily expenses, even groceries,” Hölttä said, citing weakened financial security and cuts to social benefits. The shift to online shopping has normalised instalment payments, often perceived as the only option when incomes fail to cover basic needs.

Lauri Lantto, head of economic counselling at Oulu’s Legal Services Agency, confirmed the rise, noting that young adults under 30 and students are the most affected. “What’s alarming is that instalments are now used for essentials,” he said.

Minkkinen calls for stricter age limits on instalment agreements, especially online, where options like “pay in parts” or “pay within 30 days” are readily available. “If I’d known how far my choices at 18 would affect me—how differently I’d think if I’d known I’d have kids later—I’d have done things differently,” she said.

Experts advise tracking expenses, negotiating payment terms with creditors, and using budgeting apps. While instalments can offer interest-free flexibility, routine reliance on them risks unmanageable debt. Some clients juggle dozens of plans across different providers, with debts ranging from hundreds to thousands of euros.