Jubilee and Jubilation: An Examination of the Relationship between Public Service Loan Forgiveness and Measures of Well-Being

31 Pages Posted: 28 Nov 2022

See all articles by Daniel Collier

Daniel Collier

University of Memphis

Dan Fitzpatrick

University of Michigan at Ann Arbor

Date Written: November 22, 2022

Abstract

A team of researchers at the University of Memphis and the University of Michigan released the results of a groundbreaking analysis revealing the massive personal benefits that student loan borrowers enjoy as they approach and, in particular, as they achieve debt cancellation through the Public Service Loan Forgiveness (PSLF) program. Using a novel survey of hundreds of student loan borrowers across the country, this research provides a first-of-its-kind look at how nearing and arriving at PSLF has positive spillover effects across nearly every area of borrowers’ lives, including improving a wide range of financial, psychological, and behavioral measures. PSLF is a critical pathway available to federal student loan borrowers to pursue debt relief. However, little is known about borrowers who pursue PSLF, or about how nearing and arriving at cancellation through the program relates to borrowers’ financial behaviors and measures of subjective well-being.

Keywords: student loan, student debt, higher education, public service loan forgiveness, mental health

JEL Classification: I22, I23, I28

Suggested Citation

Collier, Daniel and Fitzpatrick, Dan, Jubilee and Jubilation: An Examination of the Relationship between Public Service Loan Forgiveness and Measures of Well-Being (November 22, 2022). Student Borrower Protection Center Research Paper, Available at SSRN: https://ssrn.com/abstract=4285022

Daniel Collier (Contact Author)

University of Memphis ( email )

Memphis, TN 38152
Memphis, TN usa 38152-3370
United States

Dan Fitzpatrick

University of Michigan at Ann Arbor ( email )

500 S. State Street
Ann Arbor, MI 48109
United States

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