DC, Maryland, Virginia lead nation in student loan debt: District residents owe highest average

Student loan debt is crippling the DMV. 

According to a report by the Education Data Initiative, D.C. residents have the nation’s highest average federal student loan debt at $54,668 per borrower. 

D.C. also has the highest number of indebted student borrowers per capita, with 17.2% of residents in debt.

Maryland is right behind the District with borrowers in the state owing an average of $43,345.

Virginians are ranked fourth on the list of states with the highest student loan debt with an average of $39,561 owed. 

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Student loan borrowers gather near The White House to tell President Biden to cancel student debt on May 12, 2020 in Washington, DC. (Credit: Paul Morigi/Getty Images)

The cost of college has surged in recent decades – and student loan debt has risen along with it. 

The Education Data Initiative report found the average student borrows more than $30,000 to pursue a bachelor’s degree, all while the average student loan debt has tripled since 2007.

In addition, half of the student borrowers still owe $20,000 each on outstanding loan balances 20 years after entering school.

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Student loan scams surge as October repayment date approaches

Scammers are looking to take advantage of borrowers in need of financial assistance as student loan payments start back up.

The average overall student debt has increased by 106% or 6.6% each year over 16 years.

Here’s a closer look at student loan debt statistics in the U.S. today, including the average debt by state.

WASHINGTON, DC - JUNE 30: Student debt relief activist rally in front of the U.S. Supreme Court on June 30, 2023 in Washington, DC. The Supreme Court stuck down the Biden administration’s student debt forgiveness program in Biden v. Nebraska. (Photo

Average Student Loan Debt by State

The Federal student loan debt totals among the 50 U.S. states, including Puerto Rico and the District of Columbia (D.C.), average $29.0 billion per state, according to the data.

In contrast, North Dakota’s average federal student loan debt is $29,083, making it the only U.S. state where the average debt is less than $30,000.

Alaska sees highest increase in student loan debt

In 2021, Alaska saw the greatest increase in the average federal student loan debt per borrower – an additional $1,269 each.

Meanwhile, Wyoming’s student loan borrowers diminished their average debt by $793 each, the largest nationwide decrease.

States with highest student loan debt

  1. District of Columbia – $54,668
  2. Maryland – $43,345
  3. Georgia – $41,951
  4. Virginia – $39,561
  5. Florida – $38,931
  6. South Carolina – $38,682
  7. Delaware – $38,373
  8. Illinois – $38,198
  9. New York – $38,139
  10. North Carolina – $38,134

Student loan interest rates restart

Student loan interest rates were halted during the COVID-19 pandemic, but interest rates kicked back in this month and payments began again on Oct. 1.

While 27% of Americans with student loan debt said they’d spend less on luxury items, nearly half (47%) said they plan to reduce spending on essentials to make ends meet, according to data from MassMutual. 

Part of this story was reported from Los Angeles.