The cost-of-living crisis is taking another worrying turn, with New Zealand motorists now able to put petrol on Afterpay as soaring fuel prices force households to rethink how they pay for everyday essentials.
With petrol prices climbing above $3.50 a litre in parts of the country, filling the family car is becoming an increasingly expensive exercise, raising fresh concerns about the financial pressure facing whānau.
Fuel retailers Z Energy and Caltex are offering Afterpay as a payment option, allowing eligible customers to spread the cost of petrol over four instalments rather than paying the full amount at the pump.
The service is available nationwide at Z and at selected Caltex stations, subject to eligibility and payment conditions.
While buy-now-pay-later services have traditionally been associated with clothing, electronics and other retail purchases, their availability for fuel highlights how consumer credit is extending into essential household spending.
However, there is currently no publicly verified national figure showing how many motorists are using Afterpay specifically to purchase petrol, or whether that number has increased alongside fuel prices.
The financial pressures driving concern are nevertheless becoming harder to ignore.
According to fuel price data reported in early October, the national average price of regular 91 petrol had climbed to approximately $3.53 a litre, around 48 cents higher than four weeks earlier.
For a motorist filling a 50-litre tank, that translates to approximately $176, compared with about $152 just a month earlier.
For whānau who depend on their vehicles to get to work, take tamariki to school, attend medical appointments or travel between rural communities, those increases can quickly become unavoidable expenses.
And the pressure does not stop at the petrol pump.
Higher diesel prices increase the cost of transporting food, freight and essential goods, creating the potential for further price rises across the wider economy.
The Reserve Bank has acknowledged that rising international fuel costs are contributing to inflationary pressure and making the economic recovery more difficult.
International oil market volatility, disruptions linked to conflict in the Middle East and the cost of importing refined fuel have all contributed to the latest increases.
For Māori households, particularly those living in rural areas or communities with limited public transport, the impact can be especially challenging.
Longer travel distances, limited transport alternatives and the cost of accessing employment, education and healthcare mean fuel is often a necessity rather than a discretionary purchase.
The growing availability of buy-now-pay-later options for essential purchases also raises questions about household debt.
Afterpay allows eligible customers to divide purchases into four interest-free payments over six weeks, but late fees and other conditions can apply.
While the service may provide short-term flexibility, it does not reduce the underlying cost of petrol.
A household that uses instalment payments for fuel this week may still be repaying that purchase when the next tank needs filling.
That creates a risk of overlapping financial commitments, particularly for households already juggling rent, mortgages, groceries, power bills and other essential expenses.
The latest fuel increases also come as political parties campaign on their plans to address the cost of living ahead of the 7 November general election.
The Coalition Government has pointed to existing financial assistance for working families, while opposition parties have continued to challenge its economic management and the affordability pressures facing households.
But the bigger question is whether the economic recovery being discussed by political leaders is translating into meaningful relief for people managing weekly household budgets.
For many whānau, the immediate concern is not economic forecasts or political promises. It is whether there will be enough money left after filling the car to pay for groceries, school expenses and other necessities.
The availability of Afterpay at the petrol pump does not, by itself, prove that more motorists are borrowing to buy fuel. But when a full tank costs more than $175, it is a stark reminder of how expensive everyday life has become.
And as fuel prices continue to place pressure on household budgets, the question confronting political leaders is becoming increasingly urgent.
Is the cost-of-living crisis getting worse, and what will it take before whānau finally feel some relief?
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