What Is the Average Student Loan Debt? Facts and Strategies for Borrowers

Going to college today costs significantly more than it did a generation ago, and families are taking on more student loans to finance their children's education. Collectively, student loan debt now stands at $1.77 trillion, according to the latest data from the Federal Reserve.

National student loan statistics give the impression that student loan debt has ballooned for everyone, but how much a student borrows is highly individual and dependent on factors like the type of college, state, and degree level.

Current private student loan refinance rates

Here's a look at the latest data across multiple variables to better understand how student loan statistics break down.

What is the average student loan debt in the U.S.?

Student loan debt varies widely by level of education. Roughly 43 million borrowers owe $1.5 trillion in federal student loans to the U.S. Department of Education, which accounts for a little over 92% of all student debt.

Individually, borrowing varies. In 2023, 50% of graduates borrowed for their bachelor's degree, according to the most recent data from the College Board. Other key 2022–23 statistics include the following:

• Average bachelor's debt for public 4-year schools: $27,100
• Average bachelor's debt for private 4-year schools: $33,800
• Percentage of students graduating with private student loan debt: 10%
• Average private student loan debt for private colleges: $41,660 (14% of borrowers)
• Average private student loan debt for public colleges: $35,770 (10% of borrowers)
• Percent of private student loans: 13% of all education loans
• How much more debt women hold than men: $3,000
• How much more debt Black borrowers owe than white: $13,000

Although borrowing for bachelor's degrees has declined since its peak in 2010–11, it remains high compared to the 90s.

Average federal student debt by age

The average student loan debt for outstanding federal loans varies by age. Below are the federal student loan balances across various age ranges. The figures include unpaid loan principal and interest. 

• 24 and younger: $100 billion
• 25 – 35: $491.4 billion
• 35 – 49: $624.4 billion
• 50 – 61: $278.5 billion
• 62 and older: $109.8 billion

Generally, younger borrowers might have a lower outstanding loan balance because their loans might not have accrued as much interest as older borrowers, and/or younger borrowers haven’t taken on graduate-level loans. 

By age 50 and older, borrowers have reduced their federal average unpaid student debt. This achievement might have been achieved the conventional way by making monthly payments over a predetermined term, qualifying for federal student loan forgiveness, or student loan refinancing.

Average federal student debt by race and ethnicity

The National Center for Education Statistics (NCES) revealed the average student debt by race/ethnicity. Below is the average federal student loan debt borrowed four years after students completed their bachelor’s degree program.

Student loan debt by degree type and field of study

How much students borrow also heavily depends on the type and level of degree they're pursuing. For most students, graduate or professional degrees, including medical, law, business, and dental degrees, require more borrowing than undergraduate degrees.

This is due to program cost and having less access to grants and other financial aid that's available to undergraduates. According to the latest data from the College Board and the National Center for Education Statistics:

• Average public 2-year debt: $3,564
• Average private, nonprofit 2-year debt: $18,480
• Average debt for bachelor's degrees (public and private 4-year schools): $29,300
• Average graduate and professional degree debt: From $66,000 (master's degree) to $246,000 (medical school)

Trends in student loan debt

There are a number of recent trends in student loan debt.

Declines and increases by degree level

Federal borrowing for bachelor's degrees has been trending downward since 2010, when borrowing peaked. Between 2013–14 and 2023–24, federal borrowing declined by 47%, and loans made up about 24% of total aid received.

Today, graduate student borrowing has decreased somewhat (13%), but federal loans still make up 61% of graduate students' funding, according to the College Board. The share of education loans for graduate students rose from 35% in 2013–14 to 47% in 2023–24, even though grad students comprise just 16% of college students.

Between 2011 and 2021, the percentage of adults with advanced degrees rose from 10.9% to 14.3%, with women outpacing men. In the 2023–24 school year, graduate students took out an average of $17,240 in federal student loans.

Meagan McGuire, a certified student loan professional and senior consultant at Student Loan Planner, recommends exercising caution when borrowing for a graduate degree. “Borrow what you need, budget off that responsibly, and have a plan for payback in the future,” she says. That could include using an income-driven repayment plan with future loan forgiveness or a program like Public Service Loan Forgiveness.

Influences at the state level

Cost variation by state also influences how much debt students hold. According to The Institute for College Access and Success (TICAS), the states with the highest student debt in 2020 tended to be in the Northeast, while the lowest amounts of debt occurred in some Western states.

Highest-debt states:

• New Hampshire ($39,928)
• Delaware ($39,705)
• Pennsylvania ($39,375)
• Rhode Island ($36,791)
• Connecticut ($35,853)

Lowest-debt states:

• Utah ($18,344)
• New Mexico ($20,868)
• Nevada ($21,357)
• Wyoming ($23,510)
• Washington ($23,993)

Impact of student loan forgiveness

In 2023–24, about one in 10 federal borrowers received some kind of forgiveness. Borrowers receiving debt relief reported immediate positive changes to their lives, according to the 2023–2024 Student Loan Borrower Survey from the Consumer Financial Protection Bureau. About 61% of borrowers who received debt relief were able to make beneficial life changes sooner than if the debt hadn't been forgiven.

The median amount forgiven was $20,000. About 10% of borrowers received $5,000 or less, while another 10% saw $99,000 or more forgiven.

Factors influencing student loan debt levels

The cost of attendance at a particular college and degree level influences how much a student borrows. In 2024, the average cost of attendance for an undergraduate at a public four-year university was $24,920, while private colleges averaged $58,600, according to the College Board.

Understanding college costs is nuanced, however, because college discounting is at an all-time high. The 2023 National Association of College and University Business Officers (NACUBO) Tuition Discounting Study found that private colleges slashed their published prices by an average of more than 50% by offering grants, fellowships, and scholarships, so a college website's published price may not reflect the true cost for a particular student.

Nancy Goodman, founder and executive director of the nonprofit College Money Matters, recommends applying to enough schools that you have more real choices in the spring, as well as applying to less selective colleges that are more likely to offer grants and scholarships for your grades and test scores. “Don't fall for the marketing of a more expensive college,” she says.

How to manage high student loan debt

If you need to borrow for an expensive degree like a medical or law degree, map out a plan for how to handle the debt after graduation, McGuire says. Some degrees, for example, may be eligible for Public Service Loan Forgiveness if you work for a qualifying employer (like a nonprofit hospital).

“Plan ahead by running some estimates on your payback plan with the federal loan simulator or the Student Loan Planner calculator,” McGuire says.

Consider these options:

• Income-driven repayment plans for federal loans: These payment plans for federal student loans base your monthly payment on your discretionary income and family size, and forgive any remaining balance after 10 to 25 years, depending on the plan. “If your loan balance is greater than your income, loan forgiveness will be something to consider,” McGuire says.
• Public Service Loan Forgiveness (PSLF): Working in public service, such as the government sector, may mean your loans qualify for forgiveness through PSLF after 10 years of eligible payments.
• Teacher Loan Forgiveness: Teaching full-time for 5 years in a low-income school can lead to forgiveness of up to $17,500 in federal loans.
• Educational assistance programs: Look for an employer who offers an educational assistance program to help with student loan payments. Employers can offer up to $5,250 in loan repayment assistance per employee per year, tax-free.
• Prioritize loan payments with budgeting strategies: Create a budget to prioritize student loans and consider paying off the higher-interest loans faster by paying a little extra toward the principal each month.
• Explore refinance options for private loans: Shop around with various lenders to find out if refinancing could lower your interest rate.
• Work to avoid overborrowing: “Work during the summer, holidays, and even start college a semester or year later to earn money,” Goodman says.