The Average Student Loan Debt By State (2024)

The cost of higher education in the United States is daunting for many Americans. In 2023 the average total cost of attendance for a student residing on campus at a public four-year in-state institution is $104,108. A private, nonprofit university will run students $223,360 over four years.¹ 

It’s no surprise, then, that people working toward an advanced degree often borrow money to cover the costs of their education. When they do, the debt can be very high, though there are significant differences by state. 

The U.S. Department of Education owns most federal student loans, accounting for approximately 93.1% of student loan debt.¹ Private loans cover the remainder. 

In aggregate, the country’s outstanding student loan balance was $1,774,909.90 in Q1 2023. That figure dipped to $1,732,575.30 in Q3.² Rather than a sudden influx of borrowers repaying their obligations, the explanation for the decrease is primarily due to the wave of recent debt forgiveness by the federal government. 

In December 2023, the Biden-Harris Administration approved student loan debt cancellations totaling almost $132 billion for more than 3.6 million qualified borrowers.³ People who were eligible for the cancellation programs were those who had been in income-driven repayment plans and those who had been in repayment mode for a minimum of 20 years.

The amount of student loan debt differs by state. Here is the portfolio of federal student loan balances as of September 2023 for each state as well as the number of borrowers.⁴  

California Has the Most Student Loan Debt at $146.7 Billion

The state with the highest student loan debt is California, with an aggregate portfolio of $146.7 billion.⁴ However, this state also has the highest number of borrowers, at 3,976.6 million. 

In fact, the number of borrowers is the driving factor in how much student loan debt is owed in a state. To round out the top three states with the highest student loan debt:

• Texas: $125.7 billion, 3,842 million borrowers
• Florida: $103.3 billion, 2,713.8 million borrowers

A primary reason for so many student loan borrowers is population. These same states also have the highest populations in the country, and in the same order⁵:

• California: 38,965,193
• Texas: 30,503,301
• Florida: 22,610,726

Wyoming Has the Least Student Loan Debt at $1.7 Billion

The lowest per-state student loan debt belongs to Wyoming, with an aggregate portfolio of just $1.7 billion in outstanding obligations.⁴ However, Wyoming also has the lowest number of borrowers, at 56 million. 

As with the highest statewide student loan debt, the number of borrowers is a significant factor in the amount owed by location. The next two states with the lowest student loan debt and their corresponding number of borrowers: 

• Alaska: $2.4 billion, 68.8 million borrowers 
• Vermont: 2.9 billion, 78.4 million borrowers. 

Population correlates to these statistics, with the three least populated states being: 

• Wyoming: 584,057
• Alaska: 733,406
• Vermont: 647,464

Rising tuition and assorted educational costs may be foundational reasons for high student loan debt, but there are other factors to weigh when analyzing the data. The concentration of colleges and universities within the state is also an important consideration. For example, California has the greatest number of higher education institutions in the United States, at 644, while Wyoming has just 10.^6,7 

Students can’t ignore the area’s cost of living while enrolled in college. When housing is scarce, renting apartments and living in dorm rooms becomes more expensive. Coupled with high food, transportation, and assorted other essential expenditures, students who do not have the means to pay their own way with savings and grants are more apt to borrow money to pay for their education. 

Finally, these figures only include federal student loans, which come with low interest rates and flexible repayment terms. Some students also turn to private student loans — which tend to have higher interest rates — to make up the difference when expenses escalate This causes repayment to be more expensive over time. 

Average Student Loan Debt Per Month
Average Student Loan Debt by Degree
Average Student Loan Debt by Year
Average Student Loan Debt by Age
Average Student Loan Debt by Generation
Average Student Loan Debt by Race

¹ https://educationdata.org/average-cost-of-college

² https://www.federalreserve.gov/releases/g19/HIST/cc_hist_memo_levels.html

³ https://www.ed.gov/news/press-releases/biden-harris-administration-announces-nearly-5-billion-additional-student-debt-relief

⁴ https://studentaid.gov/data-center/student/portfolio#servicer-portfolio-by-loan-status

⁵ https://www.statsamerica.org/sip/rank_list.aspx?rank_label=pop1

6 https://www.appily.com/colleges/best-colleges/state

⁷ https://www.collegesimply.com/colleges/wyoming/