Biden is forgiving millions in student loan debt. How much does Texas have?

Texans are less likely to have federal student loan debt and owe less per borrower, according to a study by the Education Data Initiative.

On average, a borrower from Texas owes $32,920 compared to $54,945 for a borrower from the District of Columbia, the study shows. This puts Texas 38th in a list of all 50 states, Puerto Rico and Washington D.C.

President Joe Biden announced today his long-awaited plan to deliver on a campaign promise to provide $10,000 in debt cancellation for millions of Americans — and up to $10,000 more for those with the greatest financial need.

Borrowers who earn less than $125,000 a year, or families earning less than $250,000, would be eligible for federal student loan debt forgiveness, Biden announced in a tweet. For recipients of Pell Grants, which are reserved for undergraduates with the most significant financial need, the federal government would cancel up to an additional $10,000 in federal loan debt.

The White House estimates that Biden’s announcement would erase the federal student debt of about 20 million people.

More than $120 billion of federal student loan debt in the country belongs to Texas residents — translating to 3,645,200 student borrowers. That makes up 12.5% of state residents. nMore than half are under the age of 35, and 16.9% owe less than $5,000, the study shows..

This story was originally published August 24, 2022 at 12:21 PM.