Young drivers today are facing financial pressures their parents never imagined. Recent research shows that nearly half (41%) of Gen Z run out of money each month, with less than 25% considering themselves financially stable. About 29% have nothing left by month’s end, and 34% have less than $100 remaining. In addition, 20% juggle multiple jobs just to make ends meet.
Between student loans, rising living costs, stagnant wages and social media-driven consumer culture, this generation’s financial stress is at an all-time high. Many rely on car loans for transportation, but one dangerous trend could leave them paying for vehicles they will never drive again, according to one expert.
The risky behavior
The risky behavior is not speeding or aggressive driving. Instead, it is something far more insidious that has become normalized among younger drivers: creating content while behind the wheel.
Shir Amram, chief operating officer at Montana Capital Car Title Loans, a leading provider of secured title loans, says the financial fallout from these choices is often devastating.
“We’re seeing a troubling pattern where young drivers are prioritizing social media content over road safety, not realizing that they’re risking both their lives and their financial future,” says Amram.
The habit includes filming TikToks, livestreaming, or creating other social media content while driving.
Deadly consequences
Social media platforms have made it easier than ever for young drivers to film themselves while driving. Whether it is a quick TikTok during a commute, a livestream to followers or a driving selfie, these moments of content creation are forms of distracted driving that are becoming increasingly common.
The numbers underscore the risk. Distracted driving claimed more than 3,000 lives in 2024, the National Highway Traffic Safety Administration reports. Texting has long been seen as the main culprit, but filming content can be even more dangerous because it requires drivers to look at screens, adjust angles and perform for the camera.
“Young drivers don’t always connect the dots between that 15-second video and the potential for a lifetime of financial consequences or worse,” explains Amram. “They see it as a quick post, but insurance companies and loan providers see it as evidence of negligent behavior.”
Increased accident risk
Creating content while driving dramatically increases the likelihood of an accident. Unlike a quick glance at the GPS, filming requires sustained attention away from the road. Drivers often need to position their phones, check how they look on camera, and even monitor comments or reactions in real time.
Taking your eyes off the road for just five seconds while traveling at 55 mph is equivalent to driving the length of a football field blindfolded. When filming content, distractions can last much longer.
Insurance nightmare
Insurance companies are becoming increasingly sophisticated in accident investigations, and they are looking for signs of distracted driving. Social media posts timestamped near accident times, phone records and witness statements can all be used as evidence.
“If an insurance company can prove that content creation contributed to an accident, they may deny the claim entirely,” Amram warns. “Suddenly, you’re facing repair costs that could reach tens of thousands of dollars, with no insurance coverage to help.”
Even if a claim is not denied outright, drivers may be found at fault, leading to higher premiums for years. For young drivers already struggling with steep insurance costs, the financial hit can be overwhelming.
Loan repayment trap
The most devastating scenario occurs when a vehicle is totaled in a distracted driving accident. Many drivers are unaware that if a car is totaled, they still owe the full loan amount.
“We’ve had customers who totaled their cars while filming content and discovered they still owed thousands on a vehicle they could no longer drive,” Amram says. “Without gap insurance, they’re stuck making monthly payments on a car that’s sitting in a junkyard while also needing to find money for a replacement vehicle.”
This creates a double financial burden. Monthly loan payments continue, insurance rates spike, and drivers must also find alternative transportation.
A perfect storm
Amram describes the financial risk as particularly severe for drivers with car loans, who are already stretched thin.
“The financial risks of distracted driving are particularly severe for drivers with car loans because they’re often already stretched thin financially. Young people today are taking on larger loans for longer terms to afford a vehicle, which means they have less financial cushion when disaster strikes.
“What we see happening is a perfect storm of bad financial outcomes. The driver causes an accident while filming content, and their insurance claim gets denied or their rates skyrocket. They’re still paying hundreds of dollars monthly on a totaled vehicle, and they need to find money for another car somehow. In many cases, they end up taking on additional debt to get back on the road.
“My advice is simple: put the phone down while driving. No video, no matter how many views it gets, is worth risking your safety and your financial future.”