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Financial Socialization, Financial Education, and Student Loan Debt

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Abstract

This study examines the role of financial socialization, financial knowledge, and receiving financial education on student loan repayment behaviors and related financial stress, as reported by the participants. From an analysis of the 2015 National Financial Capability Study dataset, we find that individuals who received financial education in an academic or professional setting were less likely to be late on student loan payments or worry about their student loan debt. Additionally, those who received both financial education and learned about finances from their parents were even less likely to worry about their student loan debt. The broader implications of the main findings for financial counselors, therapists, and planners are also discussed.

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Notes

  1. All dollar values indicate US dollars.

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Author information

Authors and Affiliations

  1. Department of Personal Financial Planning, University of Missouri, 239 Stanley Hall, Columbia, MO, 65211, USA

    Lu Fan

  2. Department of Financial Planning, Housing and Consumer Economics, University of Georgia, 205 Dawson Hall, Athens, GA, 30602, USA

    Swarn Chatterjee

Authors
  1. Lu Fan
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  2. Swarn Chatterjee
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Correspondence to Lu Fan.

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This article does not contain any studies with human participants or animals performed by any of the authors.

Appendix

Appendix

See Table 4.

Table 4 Measure of objective financial knowledge
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Fan, L., Chatterjee, S. Financial Socialization, Financial Education, and Student Loan Debt. J Fam Econ Iss 40, 74–85 (2019). https://doi.org/10.1007/s10834-018-9589-0

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