Hearing loss is one of the common causes leading to decreased quality of life in the elderly. It not only affects their normal language communication but may also trigger anxiety, depression, cognitive decline, dementia, and other mental health issues. There is a reciprocal relationship between hearing loss and psychological well-being in the elderly. Hearing loss can easily lead to psychological problems, while psychological issues may exacerbate the extent of hearing loss. Cognitive and emotional changes are the main manifestations of psychological issues in elderly patients with hearing loss. This article analyzes the psychological health assessment tools and disease characteristics changes of elderly patients with hearing loss, and studies and analyzes the auditory assessment methods, psychological intervention measures, medication as well as auditory rehabilitation treatments such as hearing aids and cochlear implants through literature review. The aim is to provide a basis for effective disease intervention, to help improve the psychological health level of elderly patients with hearing loss, and to enhance their quality of life.