New Yugo survey highlights role of AI-led marketing in student overspending and need for support and education

New research from Yugo, a student housing brand, has released new research show that AI is reshaping student finances.

Yugo surveyed 7,000 students across nine countries about their spending habits and found one in ten blames AI-led marketing for overspending.

The research also found that 69 percent of students now own a credit card, compared with just 28 percent in 2024. 12 percent of students said AI-influenced marketing had led them to overspend and four percent said AI tools had played a “direct role” in getting them into debt.

Students were found to heavily rely on AI for financial decisions, with 40 percent stating they would trust AI to manage their investments and 10.6 percent said they believe AI helps them to shop more competently. 

Just 8.5 percent of students said they actively question AI-generated brand recommendations, although 8.7 percent said they avoid brands that use AI altogether. 

“Current students are living in the midst of a huge cultural change, where AI is reshaping not just how we work, but how we spend, save, and invest,” comments Emily Porter, Global Senior Brand Manager and Head of the Live Your Best Life programme at Yugo, which is designed to help students navigate the challenges of adulthood. 

“While the technology brings huge benefits, it also creates new pressures. As a sector, we have a duty to help students develop the financial confidence and critical thinking they need to thrive - and not just survive - in an AI-driven world.”

Yugo says there is a "clear need” for improved financial education that more accurately reflects the new digital tools shaping spending habits, particularly for students who may be living independently for the first time.