Executive Summary

The COVID-19 pandemic has intensified focus on the critical issue of student loan debt, which totals $1.7 trillion nationwide and affects over 45 million borrowers, prompting unprecedented relief measures. While the initial pause on student loan repayments was widely welcomed, the following relief proposals—such as the Biden administration's debt cancellation and more generous income-based repayment plans—have become focal points of political and legal debate.

This report analyzes public sentiment surrounding these developments by examining millions of online conversations using advanced social listening tools. Conducted collaboratively at Babson College, the study leverages Brandwatch—a leading platform traditionally used for market analysis—to explore public discourse on this critical social issue. By integrating artificial intelligence (AI) and natural language processing (NLP) technologies, the report contributes to the emerging field of using AI-driven tools to gauge public attitudes on significant societal matters. The goal is to assess the effectiveness of these platforms in analyzing sentiment beyond commercial applications, providing insights into a range of social and political issues.

KEY FINDINGS

Predominant Negative Sentiment Reflects Widespread Dissatisfaction: The analysis reveals a pervasive negative sentiment toward current student loan relief policies, extending even among those who might be expected to support such measures. Following President Biden's debt cancellation announcement, 50% of online conversations were negative, with only 3% positive. Similarly, after the Supreme Court blocked the plan, negative reactions persisted from both supporters and opponents. The intensity of negativity exceeds what is commonly attributed to the general negativity bias prevalent on social media platforms. This heightened negative response suggests that the scope and complexity of the student loan debt crisis render it exceptionally challenging to address in a manner that meets public expectations, leading to polarized reactions regardless of specific policy initiatives.
Significant Spikes in Public Discourse Correlate with Key Events: The analysis identified over 8.28 million mentions of student loans between June 2022 and June 2024, with major spikes following key policy events—nearly 1.4 million mentions after the debt cancellation announcement in August 2022 and around 800,000 after the Supreme Court ruling in June 2023. These spikes underscore strong public interest and highlight that major news events drive social media activity. However, the underlying discontent suggests that deeper systemic issues remain unaddressed.
Deep-Seated Dissatisfaction with Loan Servicers Compounds Frustration: The report uncovers substantial dissatisfaction with loan servicers, particularly MOHELA and Nelnet. MOHELA, managing 22% of borrowers' accounts by 2024, received over 71,000 social media mentions, 52% of which were negative. Common grievances included service delays, poor communication, and technical issues, exacerbating borrower anxiety, especially as repayment schedules resumed. This dissatisfaction underscores systemic problems in loan servicing that intensify the broader challenges of the student debt crisis.
Broader Economic Factors Fuel the Crisis: The student debt crisis is intertwined with broader economic issues such as rising education costs, stagnant wages, and reduced public funding for higher education. These factors have made debt repayment a significant burden for many, fueling debates about the fairness and sustainability of current policies. Public sentiment reflects deep-rooted frustrations with these systemic challenges, emphasizing the need for comprehensive solutions that address the root causes.

CONCLUSION

The findings reveal that temporary fixes and partial relief measures for the student loan crisis have not only fallen short of public expectations but have also generated widespread frustration and polarization. The predominantly negative sentiment—even among those who typically support relief efforts—signals a clear demand for more substantial and innovative solutions that address the underlying causes of the crisis. Systemic issues such as rising education costs, stagnant wages, and flawed loan servicing systems complicate debt management and exacerbate the situation, emphasizing the need for improved oversight, transparency, and comprehensive policy reforms. Without confronting these root problems, public dissatisfaction will persist, and polarization around student debt relief will intensify.

Although AI-powered sentiment analysis tools like Brandwatch provide valuable insights, the study acknowledges their limitations in capturing the full nuances of public discourse. Potential biases and the complexity of online conversations require cautious interpretation of the data. A more nuanced analysis is needed to fully understand the drivers of public sentiment and to inform effective, data-driven policy recommendations.

Ultimately, this study underscores the critical need for comprehensive strategies that address both the symptoms and underlying factors of the student debt crisis. By leveraging advanced analytical tools and acknowledging their limitations, policymakers and stakeholders can better understand public attitudes and craft solutions that align with the needs and expectations of borrowers across the United States.