Preventing Student Loan Delinquencies: A Behavioral Science Study

A study from The Wharton School Professor Katy Milkman on 13 million borrowers found that behaviorally informed email reminders significantly reduced student loan delinquencies. Repeated reminders were more effective than single notifications, and framing savings in percentage terms improved borrower engagement. The findings suggest simple, cost-free messaging strategies can prevent thousands of missed payments.

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