This narrative review explores the impact of financial technology (fintech) on Generation Z’s financial well-being, focusing on the benefits and challenges arising from fintech use. It identifies fintech categories, such as payment instruments, budgeting apps, investment platforms, and financial education apps, and explains their potential and also some risks that may arise. Through a comprehensive analysis of existing literature, the review emphasizes that financial literacy plays important role in optimizing the benefits of fintech and reducing its potential negative impacts. Furthermore, the importance of financial education programs that are specific and tailored to the needs of Gen Z is emphasized to support their financial stability in the future. The results show that while fintech can improve access and control over finances, its success depends largely on users’ financial literacy, their ability in digital literacy, and how they use fintech tools wisely. Therefore, financial education and responsible use of fintech are key to minimizing risks and improving sustainable financial well-being.