U.S. student loan debt totals $1.77 trillion, and the average undergraduate borrower owes $29,300. Here are the key student debt statistics to know for 2025.
Student loans in the U.S. are generally either owned by the federal government or financial institutions. The federal government fully guarantees almost all student loans. Some student loans are held by agencies like Sallie Mae or a third-party loan servicing company.
The outstanding federal loan balance is $1.620 trillion and accounts for 91.2% of all student loan debt. 42.8 million borrowers have federal student loan debt. The average federal student loan debt balance is $37,853, while the total average balance (including private loan debt) may be as high as $40,681.
Behind the numbers (WSJ): Due to escalating tuition and easy credit, the U.S. has 101 people who owe at least $1 million in federal student loans, according to the Education Department. Five years ago, 14 people owed that much. More could join that group.
Globally, student loan debt in the U.S. is second only to the United Kingdom, according to a 2022 Lending Tree report.
Americans owe about $1.6 trillion in student loans as of June 2024 – 42% more than what they owed a decade earlier.
A large cadre of research now shows that student debt disproportionately burdens Black borrowers. Not only are Black students more likely to borrow, and to need to borrow more, but they struggle much more with paying back their loans.
According to Experian, average total consumer household debt in 2023 is $104,215. That's up 11% from 2020, when average total consumer debt was $92,727.
Overall, 32 percent of students have no responsibility in paying for college, while 39 percent pay for some of it, and 29 percent are responsible for all of it.
Approximately three-quarters of Black- and White-headed families have debt, but the median debt-to-asset ratio is 50% higher among Black than White families (Copeland, 2020), with Black borrowers less likely to fully repay loans (Brevoort et al., 2021).
Black adults are more than twice as likely than white adults to have student loan debt. The following graph includes federal and private student loan debt among all adults. On average, Black adults in the U.S. also hold higher student loan debt balances than borrowers of other races.
The same principle applies to student loans. In the case of student loans, the student is responsible for repaying the debt — whether they graduated or not. The only exception to this rule are parent PLUS loans, in which the parent — not the student — is responsible for that debt.
46.2 million borrowers have federal student debt as of the second quarter of fiscal year 2023. That's up from 45.3 million as of the second quarter of fiscal year 2022. 0.65% of student loans are 90 days or more delinquent as of the second quarter of 2024.
The benefits of free college include greater educational access for underserved students, a healthier economy, and reduced loan debt. Drawbacks include higher taxes, possible overcrowding, and the threat of quality reduction.
Overview of Student Loan Ownership
Federal student loans are typically owned by the U.S. Department of Education (DOE), while private student loans are owned by the private lender who issued them. However, both the DOE and private lenders may partner with a third party known as a loan servicer to manage your loans.
Running up $50,000 in credit card debt is not impossible. About two million Americans do it every year. Paying off that bill?
The Standard Route is what credit companies and lenders recommend. If this is the graduate's choice, he or she will be debt free around the age of 58. It will take a total of 36 years to complete. It's a whole lot of time but it's the standard for a lot of people.
The average FICO credit score in the US is 717, according to the latest FICO data. The average VantageScore is 701 as of January 2024.
Billionaire Robert F. Smith pledged to pay off student loans for every member of Morehouse College's graduating class. The Ivy League-educated business leader made his fortune investing in software firms and other tech companies.
Higher percentages of Black (88 percent) and American Indian/Alaska Native (87 percent) students received grants than students who were of Two or more races (79 percent), White (74 percent), and Asian (66 percent).
64% of all student loan debt belongs to women. The average student debt for women in the U.S. is $31,726. Women have a median annual salary of $56,170 following college graduation, which is 26% of what men can expect to earn following graduation.
You're not alone if you are still paying off your student loans from your college education years ago. In fact, many Americans are paying their student loans well into middle age. A 2019 study from New York Life found that the average age when people finally pay off their student loans for good is 45.
Meanwhile, 1 million people had a federal student loan balance of more than $200,000, up from 600,000 individuals.