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- Average Student Loan Debt by State in 2026: See How You Compare — And How to Pay It Off Faster
Average Student Loan Debt by State in 2026: See How You Compare — And How to Pay It Off Faster
August 14, 2026
August 14, 2026
Where you live doesn't change what you owe on your student loans. But it can explain a lot about what your fellow student loan borrowers in the neighborhood are carrying.
For example, in North Dakota, the average federal student loan balance is about $30,500, the lowest in the country. Head east to Washington, D.C., and it's more than $55,800, nearly double.
Here's how the averages break down by state, why the gaps are so wide, and what you can do to pay yours down faster.
College is expensive in America, and borrowing for it is common. According to the Education Data Initiative, 53.3% of undergraduates who complete a degree program take out federal loans at some point along the way.
Loan balances are high, and for many, they can cause financial duress. The average federal student loan borrower owes $40,467, and if you took out private school loans, you could owe more: the average total balance may run as high as $43,521.
Expert Insight: Of course, not every borrower owes anywhere near $40,000, because averages only tell you so much. In the Federal Reserve's most recent survey data on student loans, the median borrower owed between $20,000 and $24,999 for their own education, and 28% owed less than $10,000. A relatively small number of graduate and professional borrowers with very large balances pull the average well above what most people actually owe.
As the parent of a high school student who will be having this conversation soon, and who also covers student loans, I can say with authority that it's easier to write about it than live it.
A few facts worth knowing if your family is having this conversation too:
If you're considering a federal loan designed for parents, here's what's changed:
A private loan at a lower rate may be worth considering, though you'd give up federal protections like deferment, forbearance, and discharge if the borrower dies or becomes permanently disabled.
That is the part I keep sitting with, as someone in middle age. For some older parents, this debt shows up in your 50s or even early 60s, when your income may shift, and it will not shrink when your income does. A student has years of earning power ahead of them. A retiree doesn't.
Is it worth it? Only the student and their family can answer that. Nothing is for sure, especially now, with AI and other changes rapidly impacting the workforce. I know I'll be making sure to file FAFSA paperwork on time and suggest my student seek out scholarships not only for their first year, but all four.
We used figures from the Education Data Initiative, drawing on U.S. Department of Education data. These averages cover federal student loans only and combine undergraduate and graduate borrowing. The data below reflects the most recent state-level breakdown available, updated July 2026.
State and/or District | Average Borrower Debt |
|---|---|
District of Columbia (D.C.) | $55,846 |
Maryland | $45,589 |
Georgia | $43,813 |
Virginia | $41,916 |
Florida | $41,162 |
State | Average Borrower Debt |
|---|---|
North Dakota | $30,543 |
South Dakota | $31,705 |
Iowa | $31,885 |
Wyoming | $32,847 |
Oklahoma | $33,483 |
D.C. residents owe the most by a wide margin, more than $25,000 above the North Dakota average, and a higher share of D.C. residents carry student debt than in any state. Maryland, Georgia, and Virginia round out the top of the list, while North Dakota holds the lowest average balance in the country.
The gap isn't really about undergraduate loans. It's about graduate school:
So a high state average tells you more about who lives in a state than about what a typical borrower owes.
Wherever your own balance falls on this list, there are concrete steps to shed your student loan debt faster than the state or national average, but you have to take the time to figure out the best approach for you.
Federal Public Service Loan Forgiveness (PSLF) gets most of the attention, but it isn't the only forgiveness option on the table. Some states, including New York, Maryland, and Arkansas, run their own loan repayment assistance programs (LRAPs) for borrowers in specific professions, often nurses, teachers, public defenders, and other public-interest lawyers.
If you qualify, you'll be asked to commit to working in a designated high-need area for a set number of years. If you work in a licensed profession, it's worth checking your state's higher education or professional licensing agency directly and asking.
You can use this technique on most loans, including mortgage payments, but if you're trying to pay off student loans, the switch can also help you save.
This is one of the simplest changes you can make without altering your loan terms:
Over the life of a loan, that single extra payment can meaningfully shorten your payoff timeline and reduce the total interest you pay, since interest is calculated on a shrinking principal.
Expert Tip: Both biweekly payments and refinancing at a lower rate can shorten your payoff timeline, but moving federal loans to a private lender is permanent. If you're on an income-driven repayment plan working toward forgiveness, paying down principal faster can actually work against you. A student loan payoff calculator can show the real dollar impact before you commit.
Use with caution. Refinancing can be a fast way to beat the average, but refinancing federal loans into private ones has a real cost.
If You Have Federal Loans
The Consumer Financial Protection Bureau warns that refinancing federal loans through a private lender means giving up federal protections, including deferment, forbearance, income-driven repayment options, and eligibility for forgiveness programs. That decision can't be reversed.
If You Have Private Loans
If you went to school on private student loans and they come with a high interest rate, refinancing them may make sense if you can lower your interest, shorten the terms, or both.
As with other loans, private lenders typically look for good-to-excellent credit and stable, sufficient income to qualify you for their lowest rates. If you currently hold a high-interest private loan, the savings can be substantial.
If refinancing fits your situation, comparing rates across multiple lenders, rather than accepting the first offer, is what actually determines how much you save.
Expert Tip: You can't refinance federal loans into another federal loan. But you can consolidate them into a Direct Consolidation Loan to combine several into one payment.
However, a loan consolidated on or after July 1, 2026 counts as new. That can cut off older repayment options like IBR, PAYE, ICR, and extended or graduated repayment, leaving only two: Repayment Assistance and Tiered Standard. Consolidation can also stretch out your repayment period.
If you're struggling to repay federal loans, talk to your servicer about income-driven repayment, forbearance, or deferment first, before you consolidate.
Where you live isn't necessarily an indicator of how much you'll owe in student debt. But it does show what other borrowers in your state are carrying. Whichever state you're in, the same playbook applies. Check whether a state or employer repayment program fits your job.
Consider biweekly payments or refinancing if the math works for you. And lean on federal protections before giving them up. The balance that looks impossible today may look different once your income catches up.
We used figures from the Education Data Initiative, which draws on U.S. Department of Education data. State-level figures were last updated in July 2026.
Maya Dollarhide is a Journalist for bestmoney.com, specializing in personal finance and consumer lending. She earned her MS in Journalism from Columbia University and has written for TIME, Yahoo Finance, Investopedia, Bankrate, Forbes, CNN, and AARP. Her work focuses on creating SEO-driven content, developing K-12 financial literacy curriculum, and producing B2B content for financial services clients.
