Filipinos are growing more confident in credit products, even as concerns over high interest rates and fraud continue to temper adoption, according to a new study from global information firm TransUnion.
The 2025 Credit Perception Index (CPI) put the Philippines at 73 out of 100, nearly unchanged from last year’s 74, suggesting stable sentiment toward borrowing.
Trust in credit products rose six points, while willingness to use credit after learning about its benefits fell by nine points.
“Filipinos are eager to learn more about financial options that are relevant, accessible, and suited to their needs,” said Peter Faulhaber, president and CEO of TransUnion Philippines. “As financial literacy deepens, we anticipate even greater familiarity, trust, and responsible use of credit — key pillars in building a more inclusive and robust financial ecosystem in the Philippines.”
Interest rates remain the main barrier, cited by 59% of the general population, 52% of unbanked consumers, and 61% of FinTech users. Fraud risk was flagged by over half of the general population and FinTech users, highlighting lingering concerns about digital security.
The study also found unbanked Filipinos are catching up with the wider population.
Their CPI score rose to 67 from 65 last year, narrowing the gap from nine points to six. Knowledge and trust in credit products increased by eight and nine points, respectively, with awareness of mobile loans (+16 percentage points), payday loans (+15 pp), and personal loans (+10 pp) seeing the largest gains.
Despite progress, only 56% of unbanked respondents reported having knowledge of credit, versus 69% of the general population.
FinTech users, included in the survey for the first time, scored highest on the CPI at 74, with 71% reporting familiarity with credit products.
The survey also underscored the growing role of e-wallets in financial access, with 35% of respondents citing them as their first financial product, ahead of bank accounts at 30%. Among younger consumers, 47% of Gen Z and 37% of Millennials said they began with an e-wallet.
“The strong performance of FinTech users and the narrowing gap between the unbanked and the general population reflect encouraging momentum toward greater financial inclusion,” Faulhaber said. “But addressing persistent barriers, especially fraud and security concerns, will be key to empowering more Filipinos to engage confidently with credit.”
The annual CPI survey was conducted from March 27 to April 7, 2025, covering 1,165 consumers across the Philippines.
