Total student loan debt in the United States is approximately $1.7 trillion as of 2024

This figure represents money owed by roughly 43 million borrowers across federal and private loan programs. The number has grown steadily over the past two decades as college costs have risen and more people have pursued higher education. The total includes undergraduate loans, graduate school loans, and Parent PLUS loans taken out by parents on behalf of their children.

The $1.7 trillion figure comes from data tracked by the Federal Reserve and the U.S. Department of Education, though the exact amount shifts as borrowers make payments, new loans are issued, and some loans are forgiven or discharged. Different sources may report slightly different totals depending on when they collected the data and which loan types they included.

Key Takeaways

  • Total student loan debt in America is roughly $1.7 trillion, held by about 43 million borrowers.
  • Federal loans make up the majority of student debt, while private loans account for a smaller but still significant portion.
  • The average borrower with student loans carries between $28,000 and $37,000 in debt, though this varies widely by degree type and school.
  • Student loan debt has grown faster than wages over the past 20 years, affecting borrowers' ability to buy homes, start families, and save for retirement.

How federal and private loans split the total

Federal student loans account for roughly $1.6 trillion of the $1.7 trillion total, making them the dominant source of student debt in America. These loans are issued through programs like the Direct Loan program, which includes Stafford loans, PLUS loans, and Perkins loans. Federal loans typically carry lower interest rates than private loans and come with protections like income-driven repayment plans and forgiveness programs.

Private student loans make up the remaining portion—roughly $100 billion to $150 billion. These loans come from banks, credit unions, and other private lenders. Private loans generally have higher interest rates, fewer repayment options, and no built-in forgiveness programs. Borrowers often turn to private loans when federal loan limits are not enough to cover their education costs.

Average debt per borrower and what it depends on

The average borrower with federal student loans carries between $28,000 and $37,000 in debt at the time they leave school or stop borrowing. This average masks huge variation: some borrowers owe $5,000, while others owe $200,000 or more. The amount depends on the type of degree, the school attended, how many years of school were completed, and whether the borrower took out loans for living expenses or only tuition.

Graduate degree holders typically carry more debt than undergraduate borrowers because graduate programs cost more and last longer. Law school and medical school graduates often owe $150,000 to $300,000. Borrowers who attended for-profit colleges or took longer to finish school also tend to carry higher balances. Income level at graduation does not always match debt level—a teacher and an engineer may have similar loan balances but very different ability to repay.

Why student debt has grown so much

Student loan debt has grown because college costs have risen much faster than inflation or wage growth. In the 1980s, the average cost of a year at a public university was roughly $1,200. Today it is over $28,000 per year for in-state tuition, room, and board combined. Wages have not kept pace with this increase, so borrowers have had to borrow more to afford the same education.

Federal loan limits have also increased over time, allowing students to borrow more. The availability of Parent PLUS loans, which have no aggregate borrowing limit, has added to the total. More people pursuing college degrees has also expanded the total number of borrowers, even if individual loan amounts stayed the same. The shift from grants and scholarships toward loans as the primary way to pay for college has also pushed the total higher.

How student debt compares to other types of American debt

Student loan debt is now the second-largest category of consumer debt in America, behind only mortgage debt. Americans owe roughly $12 trillion in mortgages, $1.7 trillion in student loans, $1 trillion in auto loans, and $900 billion in credit card debt. Student debt has grown faster than any other category over the past 15 years.

Unlike credit card debt or auto loans, student debt is typically spread over 10 to 25 years, so the monthly payment is smaller but the total interest paid is higher. Unlike mortgage debt, student loans cannot be discharged in bankruptcy except in rare cases. This makes student debt uniquely difficult to escape once taken on, and it affects borrowers' financial decisions for decades after graduation.

Who holds the most student debt

Borrowers aged 25 to 34 hold the largest share of total student loan debt, followed by those aged 35 to 49. Younger borrowers have more time to repay, but older borrowers often carry larger balances because they borrowed more or have repaid slowly. Some borrowers in their 60s and 70s still carry student debt, either from their own education or from Parent PLUS loans they took out for their children.

Women hold roughly 60% of all student loan debt, though this reflects both higher enrollment in college and higher average debt per borrower. Black borrowers carry higher average debt than white borrowers and are more likely to still owe money five years after graduation. Income level also matters: borrowers from lower-income families are more likely to borrow and to borrow larger amounts.

What happens to unpaid student loans over time

Student loans that are not paid do not simply disappear. Federal loans that go unpaid enter default after 270 days of non-payment, at which point the government can garnish wages, intercept tax refunds, and offset Social Security payments. The borrower also becomes responsible for collection costs and late fees, which can add thousands to the original balance.

Private loans have different consequences depending on the lender's policies and state law. Most private lenders will pursue collection actions, sue for the debt, and attempt to garnish wages. Unlike federal loans, private loans can be discharged in bankruptcy in some cases, though this is difficult and requires proving undue hardship. Defaulted loans remain on credit reports for seven years, making it harder to borrow for a car, home, or business.

Frequently Asked Questions

Is $1.7 trillion the total amount Americans owe right now, or is it the total ever borrowed?

It is the total amount currently owed. This is the outstanding balance as of the most recent data available. The total amount ever borrowed would be much higher, since many borrowers have already repaid their loans in full.

How much of the $1.7 trillion is in default?

Roughly 1 million federal loans are in default at any given time, representing perhaps $40 billion to $60 billion of the total. The exact figure varies because the government counts default differently than delinquency, and some loans move in and out of default status as borrowers make payments or enter forbearance.

Does the $1.7 trillion include Parent PLUS loans?

Yes. Parent PLUS loans are federal loans taken out by parents to pay for their children's education, and they are included in the total federal loan balance. Parents hold roughly $100 billion to $150 billion in Parent PLUS debt.

Will student loan debt keep growing?

The total is likely to grow as long as college costs continue to rise faster than wages and as long as borrowing remains the primary way students pay for education. However, the rate of growth may slow if more students choose community college, trade schools, or other lower-cost paths.