Was it Worth it? Using Student Loans to Finance a College Degree

Abstract

This qualitative study explores the perceptions of value added to the lives of graduates who borrowed money to fund their college educations. Through the lens of cognitive dissonance theory, five themes emerged. Overall, the study participants agreed that the ability to take on student loans to fund their education was worth it, but on the other hand feel overburdened with the cost of paying back their loans. This paper also provides a foundation for future research and identifies public policy shortcomings and suggests solutions.

Student loan debt literacy, overconfidence bias, and indebtedness behavior.

“…Student loan debt has become a significant concern, with individuals increasingly relying on loans to finance their education (Nuckols et al, 2020). However, it is important to understand the impact of debt literacy and overconfidence on students’ borrowing decisions to mitigate potential financial crises in the future.…”