Private Student Loans for 2024
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LendingTree is compensated by companies on this site and this compensation may impact how and where offers appear on this site (such as the order). LendingTree does not include all lenders, savings products, or loan options available in the marketplace.

How Much Federal Student Loan Borrowers Owe in Each State

Updated on:
Content was accurate at the time of publication.

The coronavirus pandemic has impacted Americans in all 50 states and the District of Columbia to varying degrees. While payments on most federal student loans have been suspended since March 2020, hundreds of thousands of borrowers have made payments amid the federal moratorium.

LendingTree researchers examined the latest available data from the U.S. Department of Education to find where borrowers have the most — and least — federal student loan debt on average. Researchers also looked at average disbursements per enrolled undergraduate at the largest U.S. schools, among other items.

Read on to learn other data and insights uncovered about U.S. federal student loan debt.

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Key findings

  • The average size of federally managed student loan debt in the U.S. is $35,287. Average federal loan amounts are highest in the District of Columbia ($55,220), Maryland ($43,165) and Georgia ($41,913) and lowest in North Dakota ($29,481), Wyoming ($30,246) and Iowa ($30,751).
  • Big borrowers skew the figures considerably. More than half of borrowers with federally managed student loan debt owe less than $20,000, at an average of $8,704. Meanwhile, nearly a third of all borrowers owe less than $10,000, at an average of $4,996.
  • Students (and their parents) borrowed almost $77 billion from July 2020 through the end of June 2021. That’s a significant drop from the nearly $89 billion in the prior fiscal year and the almost $90 billion two fiscal years earlier.
  • Direct loan borrowing is down in every state. New Hampshire (40.2%) and New Mexico (28.0%) saw the biggest drop-offs, while North Dakota (4.8%) and Wyoming (6.4%) — the two states with the lowest average loan balances — saw the smallest ones.
  • City University of New York (CUNY) schools dominate the top 10 list among large schools where the average disbursement per enrolled undergraduate is lowest. The public university system has eight among the top 10, from CUNY York College ($335) to CUNY Bernard M. Baruch College ($587).

Which residents owe most student loan debt on average? Look to the South

LendingTree researchers found that the average size of federally managed student loan debt in the U.S. is $35,287 among more than 45.1 million borrowers. This far outranks the $6,569 in average credit card debt among U.S. cardholders with unpaid balances, and may explain some borrowers’ stress over the eventual end of the student loan moratorium, which was extended again through Dec. 31, 2022.

Average federal loan amounts are biggest in the South:

  • District of Columbia: $55,220
  • Maryland: $43,165
  • Georgia: $41,913

On the other hand, the lowest student loan debt averages can be found in the Midwest and West

  • North Dakota: $29,481
  • Wyoming: $30,246
  • Iowa: $30,751

Here’s a full state-by-state look:

While average student loan debt is high, most borrowers owe less than $20,000

While the average federal student loan debt in the U.S. is alarmingly high, more than half of student loan borrowers (53.2%) owe less than $20,000. That the average amount of student debt is much higher can be attributed to some borrowers taking out six-figure loans.

There are only seven U.S. states where more than half of federal student loan borrowers owe more than $20,000 — six of which are in the South:

  • District of Columbia: 57.3%
  • Georgia: 53.0%
  • Virginia: 52.2%
  • Maryland: 52.1%
  • South Carolina: 52.0%
  • North Carolina: 51.7%
  • Oregon: 50.3%

Here’s a full look in reverse, kicking off with the states with the most borrowers who owe less than $20,000:

RankStatePercentage of borrowers who owe less than $20,000Average balance of these borrowers
National53.2%$8,704
1Nevada56.9%$8,492
2Wyoming56.6%$8,333
3Utah56.1%$8,314
4North Dakota55.9%$8,861
5Oklahoma55.5%$8,638
5Rhode Island55.5%$9,032
7California55.3%$8,970
8Alaska55.2%$8,696
9Texas55.0%$8,832
10Iowa54.8%$8,733
11New Mexico54.7%$8,537
12Louisiana54.4%$8,692
12Nebraska54.4%$8,656
14Arizona54.3%$8,653
14West Virginia54.3%$8,663
16Arkansas53.9%$8,560
17South Dakota53.4%$8,970
17Washington53.4%$8,893
19Kansas53.2%$8,837
19Wisconsin53.2%$8,878
21Idaho53.0%$8,531
21Maine53.0%$8,978
21New Jersey53.0%$9,269
24Massachusetts52.9%$9,246
25Hawaii52.7%$8,744
25Mississippi52.7%$8,414
27Kentucky52.6%$8,672
28Connecticut52.4%$9,296
28Indiana52.4%$8,881
28Montana52.4%$8,655
31New Hampshire51.8%$9,242
32Delaware51.5%$8,976
32New York51.5%$8,946
34Illinois51.4%$9,064
35Minnesota51.2%$9,190
36Florida51.1%$8,783
37Michigan51.0%$8,846
38Tennessee50.9%$8,818
39Missouri50.8%$8,982
40Ohio50.7%$8,877
41Pennsylvania50.7%$9,306
42Alabama50.4%$8,796
43Colorado50.3%$8,874
44Veront50.3%$9,259
45Oregon49.7%$8,852
46North Carolina48.3%$9,081
47South Carolina48.0%$9,001
48Maryland47.9%$9,082
49Virginia47.8%$9,184
50Georgia47.0%$8,935
51District of Columbia42.7%$8,889

Source: LendingTree analysis of U.S. Department of Education data as of June 30, 2021 — latest available. Note: Includes all federally managed loans, including those not owned directly by the federal government.

Broken down even deeper, nearly a third of borrowers (32.5%) nationwide owe less than $10,000 — 15.9% of whom owe less than $5,000.

In 40 states, at least 30% of student borrowers owe less than $10,000. The District of Columbia has the lowest share of under-$10,000 borrowers at 25.2%.

RankStatePercentage of borrowers who owe less than $10,000Average balance of these borrowers
National32.5%$4,996
1Wyoming37.0%$5,102
2Nevada36.0%$5,130
3Utah35.9%$4,880
4Alaska34.8%$5,172
5Oklahoma34.4%$5,055
6New Mexico34.3%$5,052
7North Dakota34.2%$5,172
8Louisiana33.9%$5,229
9Arizona33.7%$5,133
9Arkansas33.7%$4,981
9West Virginia33.7%$5,060
12Mississippi33.5%$4,990
13Iowa33.4%$4,993
13Nebraska33.4%$4,950
15Texas33.3%$5,193
16Idaho33.1%$4,937
17Rhode Island33.0%$5,206
18California32.8%$5,279
19Kentucky32.5%$5,060
20Kansas32.2%$5,041
20Montana32.2%$5,025
22Washington31.9%$5,095
22Wisconsin31.9%$5,015
24Maine31.8%$5,155
25Hawaii31.7%$5,026
26South Dakota31.5%$5,070
27Indiana31.4%$5,096
28Florida31.1%$5,150
29Tennessee30.8%$5,081
30New York30.7%$5,128
31Delaware30.6%$5,305
31Michigan30.6%$5,053
33Alabama30.5%$5,087
34Ohio30.3%$5,059
35Colorado30.2%$5,094
35Massachusetts30.2%$5,108
35Missouri30.2%$5,168
38New Jersey30.1%$5,245
39Illinois30.0%$5,167
39Oregon30.0%$5,100
41Connecticut29.8%$5,219
42New Hampshire29.7%$5,072
43Minnesota29.5%$5,208
44Pennsylvania28.7%$5,196
45Vermont28.6%$5,116
46South Carolina28.4%$5,146
47North Carolina28.2%$5,151
48Georgia28.0%$5,130
49Maryland27.9%$5,203
50Virginia27.6%$5,202
51District of Columbia25.2%$5,137

Source: LendingTree analysis of U.S. Department of Education data as of June 30, 2021 — latest available. Note: Includes all federally managed loans, including those not owned directly by the federal government.

Why student loan debt dropped significantly between 2020 and 2021

One of the most interesting trends researchers found was that students and parents borrowed significantly less between 2020 and 2021 than in previous years.

While borrowers acquired nearly $90 million in student debt in the 2018-19 fiscal year and almost $89 billion in student debt in the 2019-20 fiscal year, that number plummeted to nearly $77 billion the following fiscal year from July 2020 through June 2021.

With federal loan interest rates and student loan refinance rates hitting all-time lows within this period, this was an unexpected find, says LendingTree senior writer Andrew Pentis. However, several factors could be at play.

“My hope is that financial aid offices at colleges and universities across the country were good about reworking award packages in the wake of the pandemic, replacing student loans with gift aid that doesn’t need to be repaid,” he says. “I’m also hopeful that we have and will continue to see steep declines in parent PLUS loan borrowing, specifically as parents everywhere wake up to the severe cost of borrowing, often at the expense of their family budget and retirement planning.”

Pentis also believes there were fewer borrowers in 2020-21 because there were fewer students.

“As COVID-19 rampaged through campuses nationwide, you could understand why many families decided to give their teen a gap year, or why many college and graduate students decided to take a break of their own, perhaps to avoid an online-only learning environment at the same sticker price,” Pentis says.

Others who elected to stay in school might have been motivated by the pandemic’s effect on the economy to tighten their belts and ramp up their searches for scholarships and grants before resorting — as is typical — to student loans, Pentis says.

LendingTree analysts found that direct loan borrowing decreased between the 2018-19 and 2020-21 fiscal years — a two-year change — in every state. The states that experienced the biggest decreases in this period were:

  • New Hampshire (40.2%)
  • New Mexico (28.0%)
  • Oregon (27.9%)
“New Hampshire’s place on this list is puzzling, since our research indicates it had a very high transfer-in rate in 2020 and has similarly experienced especially high jumps in overall enrollment,” says Pentis. “Still, it has more tuition waivers and scholarship programs than most other states, so it’s possible a decline in borrowing is tied to increased awareness around those gift aid programs.”

Meanwhile, these states saw the smallest decreases over the two years:

  • North Dakota (4.8%)
  • Wyoming (6.4%)
  • Louisiana (8.5%)

North Dakota and Wyoming were also the states with the lowest average student debt balances.

Here’s a full look at student borrowing in every state between the 2018-19 and 2020-21 fiscal years:

RankStateFiscal year 2018-19 (millions)Fiscal year 2019-20 (millions)Fiscal year 2020-21 (millions)2-year change
National$89,883$88,511$76,457-14.9%
1New Hampshire$1,074$1,319$642-40.2%
2New Mexico$256$241$185-28.0%
3Oregon$1,143$1,073$824-27.9%
4Alaska$50$42$37-26.9%
5Washington$1,256$1,203$965-23.2%
6South Dakota$253$225$200-21.2%
7Ohio$3,172$3,021$2,518-20.6%
8Maryland$1,442$1,395$1,151-20.2%
8Washington$1,557$1,546$1,243-20.2%
10Maine$392$377$322-17.8%
11West Virginia$667$634$549-17.7%
12Vermont$268$256$221-17.6%
13Michigan$2,634$2,483$2,172-17.5%
14Rhode Island$458$444$379-17.2%
15Minnesota$2,757$2,700$2,289-17.0%
16New York$6,525$6,394$5,428-16.8%
17California$8,496$8,461$7,081-16.7%
18Mississippi$764$705$638-16.5%
19Pennsylvania$4,884$4,687$4,081-16.4%
20Georgia$2,648$2,530$2,233-15.7%
21Kansas$827$790$698-15.6%
22Delaware$257$251$217-15.5%
23New Jersey$1,715$1,696$1,452-15.3%
24Illinois$4,092$3,980$3,468-15.2%
25Hawaii$177$165$150-15.1%
26South Carolina$1,232$1,199$1,051-14.7%
27Indiana$2,007$1,957$1,714-14.6%
28Wisconsin$1,322$1,335$1,135-14.2%
29Massachusetts$2,737$2,662$2,356-13.9%
30Utah$1,104$1,124$957-13.3%
31Montana$199$189$173-13.2%
32Arkansas$655$652$570-12.9%
32Missouri$1,876$1,850$1,635-12.9%
34Arizona$3,232$3,392$2,837-12.2%
34Iowa$1,073$1,034$941-12.2%
36Colorado$1,815$1,810$1,597-12.0%
37Connecticut$1,150$1,163$1,015-11.7%
38North Carolina$2,215$2,149$1,979-10.7%
39Alabama$1,565$1,533$1,400-10.5%
40Nebraska$637$624$572-10.2%
40Tennessee$1,766$1,721$1,586-10.2%
42Texas$5,215$5,117$4,698-9.9%
43Idaho$306$297$276-9.8%
44Nevada$382$378$346-9.5%
44Oklahoma$850$821$769-9.5%
44Virginia$2,858$2,933$2,587-9.5%
47Florida$4,384$4,405$3,979-9.2%
47Kentucky$1,228$1,238$1,115-9.2%
49Louisiana$1,339$1,335$1,226-8.5%
50Wyoming$56$58$53-6.4%
51North Dakota$201$207$191-4.8%

Source: LendingTree analysis of U.S. Department of Education data as of June 30, 2021 — latest available. Note: Includes direct loans disbursed within each U.S. Department of Education fiscal year (July 1 through June 30) to institutions within these states. National totals include U.S. territories.

Among the funds borrowed last fiscal year, more than $42 billion were through subsidized, unsubsidized and parent PLUS direct loans for undergraduates. Meanwhile, the remaining $34 billion was through subsidized and graduate PLUS direct loans for graduates.

CUNY accounts for many of top schools with lowest average disbursements

LendingTree analysts found that City University of New York (CUNY) colleges take up most of the top 10 large schools with the lowest average disbursements per enrolled undergraduate.

The New York public university system has eight colleges among the top 10. Other schools that made the top 10 include Southwestern College in California ($30) and Massachusetts’ Harvard University ($650).

Among the 18 schools where the average disbursement is less than $1,000, the remainder of the list is a mix of public and private schools. Here’s a closer look:

RankInstitution nameStateTypeUndergraduate fall enrollmentDisbursements to and on behalf of undergraduatesAverage disbursement per enrolled undergraduate
1Southwestern CollegeCAPublic17,621$523,734$30
2CUNY York CollegeNYPublic7,529$2,524,639$335
3CUNY New York City College of TechnologyNYPublic15,513$5,286,551$341
4CUNY City CollegeNYPublic12,587$5,190,188$412
5CUNY Hunter CollegeNYPublic17,943$7,531,741$420
6CUNY Queens CollegeNYPublic16,702$7,463,135$447
7CUNY John Jay College of Criminal JusticeNYPublic13,662$6,688,042$490
8CUNY Brooklyn CollegeNYPublic14,969$8,069,846$539
9CUNY Bernard M. Baruch CollegeNYPublic15,774$9,264,576$587
10Harvard UniversityMAPrivate-nonprofit8,527$5,545,478$650
11Stanford UniversityCAPrivate-nonprofit6,366$4,147,611$652
12CUNY Medgar Evers CollegeNYPublic5,237$3,611,818$690
13Brigham Young University-ProvoUTPrivate-nonprofit33,376$23,535,903$705
14College of Staten Island CUNYNYPublic11,755$8,473,671$721
15CUNY Lehman CollegeNYPublic12,833$9,466,827$738
16Excelsior CollegeNYPrivate-nonprofit19,624$15,368,010$783
17Weber State UniversityUTPublic28,685$25,577,097$892
18Brigham Young University-IdahoIDPrivate-nonprofit44,481$43,377,097$975

Source: LendingTree analysis of U.S. Department of Education data as of June 30, 2021 — latest available. Notes: This list is limited to institutions designated as primarily offering bachelor’s degrees (or higher) with at least 5,000 students enrolled in fall 2020 and excludes for-profit institutions. Includes direct loans disbursed within each U.S. Department of Education fiscal year (July 1 through June 30) to institutions within these states.

CUNY’s ranking shouldn’t come as a surprise, according to Pentis.

“New York was the pioneer of the ‘free college’ movement‘free college’ movement that New Mexico picked up on when it attempted, unsuccessfully to this point, to make all of its state schools tuition-free in 2019,” Pentis says.

New York’s trendsetting Excelsior Scholarship program became the first of its kind in 2017. Though it doesn’t cover room and board, the program makes a postsecondary education more accessible.

“To this day, it waives tuition for lower-income families attending the state’s public colleges and universities, including within the sprawling CUNY system,” Pentis says. “Excelsior makes attending the CUNYs especially attractive for native New Yorker students who are of modest means. And data like this shows that it’s also lessening their need for student loans, federal direct or otherwise.”

Here’s the full list of schools that met LendingTree’s criteria:

Tips for students, parents borrowing for school expenses

Even without the economic challenges that the coronavirus pandemic brings to the table, it can be difficult to know how to financially support a student through their postsecondary education.

Here are some things to know about how to decide whether to take on student loans, refinancing options and how to choose which loan options might be the best fit:

  • Weigh whether to take out federal or private loans: There are two types of student loans: federal and private. Research various lenders and check to see whether you prequalify to compare rates. Federal loans offer more flexibility than private loans, but private loans may be helpful should you need to cover a lot of debt. Standard repayment plans on federal loans are typically 10 years, but you can apply for income-driven repayment plans if you struggle financially after graduation.
  • Consider refinancing if struggling to make payments: Refinancing student debt can come with pitfalls, but this route may be a good option if you have private loans with high interest rates. However, if you have federal loans, you’ll want to consider refinancing a little more carefully — refinancing options are privatized, so you may lose federal support programs.
  • Decide whether taking out loans is worth it: Before signing on the dotted line, you’ll want to carefully weigh out whether taking out a loan is in your best interest. If you’re a student, you’ll want to ask yourself whether your degree can lend itself to making a big enough salary to pay off your loans. You’ll also want to examine whether your school’s tuition is worth the degree you’re pursuing and pursue any potential scholarships and grants to cut back on costs.

Methodology

Researchers analyzed U.S. Department of Education data as of June 30, 2021 — the latest available and the end of the fiscal year for Federal Student Aid.

Amounts are for all federally managed debt, except for the annual amounts borrowed, which is for direct loans disbursed — not originated — during that period.

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