Student Loans in Pennsylvania

Average debt, state-specific forgiveness programs, and repayment strategies for Pennsylvania borrowers in 2026.

Average Debt

$39,375

Monthly Payment (Std)

$448

State Tax Deduction

Yes

vs. National Avg

+$7,375

Student Loan Overview for Pennsylvania

Pennsylvania borrowers carry an average student loan debt of $39,375, which is above the national average of approximately $32,000. Under the Standard 10-year repayment plan at the current federal interest rate of 6.53%, Pennsylvania graduates would pay $448 per month and a total of $14,385 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. Pennsylvania residents working in public service should explore PSLF for potential forgiveness after 10 years of qualifying payments.

Pennsylvania Student Loan Forgiveness Programs

Pennsylvania offers the Primary Care Loan Repayment Program and the PA Nurse Loan Repayment Program.

In addition to state programs, Pennsylvania 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

Pennsylvania conforms to the federal student loan interest deduction. Borrowers can deduct up to $2,500 in student loan interest paid during the tax year on both their federal and Pennsylvania state income tax returns. This deduction phases out for single filers earning $75,000-$90,000.

Top Pennsylvania Colleges & Average Debt

Institution	Avg. Graduate Debt
University of Pennsylvania	$25,000
Penn State	$37,000
Carnegie Mellon	$32,000

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

Frequently Asked Questions

What is the average student loan debt in Pennsylvania?

The average student loan borrower in Pennsylvania graduates with approximately $39,375 in student loan debt. This is above the national average of $32,000.

Does Pennsylvania offer student loan forgiveness?

Pennsylvania offers the Primary Care Loan Repayment Program and the PA Nurse Loan Repayment Program.

Can I deduct student loan interest on Pennsylvania state taxes?

Yes, Pennsylvania conforms to the federal student loan interest deduction. You can deduct up to $2,500 in student loan interest paid on your Pennsylvania state income tax return, subject to income limits.

What are the best colleges in Pennsylvania for low student debt?

Among Pennsylvania institutions, University of Pennsylvania has an average graduate debt of $25,000. In-state tuition at public universities is significantly lower than out-of-state rates.

What repayment plan should I use for student loans in Pennsylvania?

Your best plan depends on your income and career. Pennsylvania residents earning under $50,000 should consider the SAVE plan for the lowest payments. Those in public service should pursue PSLF. Higher earners may benefit from the Standard plan or refinancing.

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