A new report shows New Jersey students are carrying some of the heaviest loan balances in the country. According to WalletHub’s 2025 study on student debt, the Garden State now ranks ninth overall for debt burden.
On average, New Jersey borrowers owe more than $39,000 in student loans. WalletHub analyzed all 50 states plus Washington, D.C., measuring 12 different factors such as average loan size, unemployment among 25- to 34-year-olds, and the percentage of borrowers falling behind on payments.
Where New Jersey Stands
- Overall Rank: 9th highest debt load
- 6th: Average student loan balance
- 8th: Proportion of graduates with debt
- 5th: Unemployment rate for residents ages 25–34
- 14th: Share of loans past due or in default
- 30th: Availability of student jobs
- 22nd: Availability of paid internships
- 22nd: Growth in grant funding
The Bigger Picture
Nationally, student loan debt continues to influence major life choices. Experts point to delayed home purchases, fewer savings for retirement, and added financial strain for young adults just starting their careers.
Top 5 States With the Most Student Debt
- Mississippi
- New Hampshire
- Pennsylvania
- Delaware
- South Dakota
New Jersey may not rank in the top five, but its spot in the top ten nationally highlights just how difficult it has become for residents to manage the cost of higher education.
The New Jersey Digest is a new jersey magazine that has chronicled daily life in the Garden State for over 10 years.