Student Loans in California

Student Loan Overview for California

California borrowers carry an average student loan debt of $22,585, which is below the national average of approximately $32,000. Under the Standard 10-year repayment plan at the current federal interest rate of 6.53%, California graduates would pay $257 per month and a total of $8,255 in interest over the life of the loan.

For borrowers seeking lower monthly payments, income-driven repayment plans like SAVE (formerly REPAYE) cap payments at 5-10% of discretionary income. California residents working in public service should explore PSLF for potential forgiveness after 10 years of qualifying payments.

California Student Loan Forgiveness Programs

California offers the APLE program for teachers, the Steven M. Thompson Physician Corps loan repayment for doctors in underserved areas, and the State Loan Repayment Program for healthcare providers.

In addition to state programs, California borrowers have access to all federal forgiveness programs including PSLF, Teacher Loan Forgiveness ($17,500 for STEM and special education teachers), and income-driven repayment forgiveness after 20-25 years.

State Tax Deduction for Student Loan Interest

California does not offer a state-level student loan interest deduction. However, you can still claim the federal deduction of up to $2,500 on your federal tax return.

Top California Colleges & Average Debt

* Debt figures are approximate averages for graduating students who borrowed.

Frequently Asked Questions