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Student Loan Payments

Evidence from 4 Million Families

Student loan debt is the fastest growing household debt category, having more than doubled over the last ten years to $1.5 trillion in 2018, second only to mortgage debt, and affecting 45 million borrowers. Although the financial returns from a higher education degree over a lifetime typically exceed the costs, roughly 22 percent of student loan borrowers are in default. A major complication in policymakers’ ability to propose promising solutions is the lack of data on how families—not just individual borrowers—are shouldering the burden of student loan repayment and the impact of student loan debt on other financial outcomes.

With this report, the JPMorgan Chase Institute aims to describe how student loan payments fit into the context of families’ larger financial lives. We offer the debate insight into a new, high-frequency cash flow perspective on student loan payments and how they relate to a family’s income, liquid assets, spending, and other debt payments and seek to answer five key questions:

graduation caps made of money
  1. What share of take-home income are families spending on student loan payments?
  2. How does the financial burden of student loan payments differ across demographic groups?
  3. How consistently do families repay student loans, and how volatile are repayment amounts?
  4. In what ways do student loan payments differ from other types of loan payments, notably auto loan and mortgage payments?
  5. How do student loan payments fluctuate with income, liquid assets, and expenditures?

View the Report Student Loan Payments

The Small Business Sector in Urban America: Growth and Vitality in 25 Cities

This study, which follows up on JPMorgan Chase Institute 2018 report on small business growth, vitality, and cash flows, focuses on differences in small business financial performance across 25 US cities. Leveraging high-frequency, de-identified financial data from a sample of 290,000 small operating businesses, this report aims to inform differences in financial outcomes in the small business sector across some of the largest cities in the US, providing a lens into the composition and contributions of different types of firms to the aggregate revenue growth and exit rates of the small business sector.

View the Report Small Business Financial Outcomes in Cities

Trading Equity for Liquidity

For many families, homeownership is a vital part of the American dream. Often, their mortgage will be their greatest debt and their mortgage payment will be their largest recurring monthly expense. This report aims to answer important questions about the role of liquidity, equity, income levels, and payment burden as determinants of mortgage default. Our analysis suggests that liquidity may have been a more important predictor of mortgage default than equity, income level, or payment burden.

Read the Report about Bank Data on the Relationship Between Liquidity and Mortgage Default

The San Francisco Economy: Household and Small Business Financial Outcomes

With a GDP of $510 billion, the San Francisco metropolitan area is the sixth largest economy in the U.S. and an important hub in the global economy. To better understand the financial lives of U.S. households and small businesses, the JPMorgan Chase Institute explored questions of economic relevance through the lens of our de-identified, granular data to provide localized insights on the San Francisco Economy, including trends in out-of-pocket healthcare spending, Online Platform Economy participation and revenues, local commerce, and small business financial outcomes.

Read the Report  The San Francisco Economy: Household and Small Business Financial Outcomes

The Online Platform Economy in 27 Metro Areas

A significant and growing fraction of families generate income through the Online Platform Economy. Prior JPMorgan Chase Institute research tracking supply-side participation and revenues in the Online Platform Economy observed strong secular trends in two sectors: transportation and leasing. Participation on transportation platforms increased by more than a factor of 20, while average monthly revenues declined by half. Participation on leasing platforms tripled, while average monthly revenue doubled. In this follow-up research, we use geographic and temporal variation to explore these dynamics in more detail.

Read the Report  “The Online Platform Economy in 27 Metro Areas”


Spotlight: Profiles of Local Consumer Commerce

It’s time to use hard data and smart insights to address the complex problems that affect us all.

That’s why we established the JPMorgan Chase Institute.

The JPMorgan Chase Institute aims to help decision makers – policymakers, businesses, and nonprofit leaders – appreciate the scale, granularity, diversity, and interconnectedness of the global economic system and use better facts, timely data and thoughtful analysis to make smarter decisions to advance global prosperity.

Learn more about the JPMorgan Chase Institute