New study reveals Maryland has highest student loan debt in U.S., local universities weigh in
DELMARVA – “I always wanted to go out of state, but I couldn’t afford it. My family couldn’t afford it,” said Barington.
D’Andre Barington is a Maryland native and a recent Salisbury University graduate with a degree in Information Systems. He credits walking across that stage to his hard work ethic and student loans. “When you’re in high school they tell you that you can either afford it through your parents or you’ll have to borrow money. I was coming in blind,” said Barington.
The average borrower in Maryland has over $42,000 in student loan debt. It’s the highest in the U.S. according to CreditDonkey. “You have an outstanding debt, and you have to begin making payments on that. If you’re not used to doing that, that is how you can fall into a pitfall,” said Dr. Garcon.
Maryland’s total federal student loan debt balance currently sits at over $36 billion.
Dr. Reginald Gracon with the University of Maryland Eastern Shore says many factors contribute to that including lack of knowledge about financial aid and students going into college without a solid plan. “If they’re taking classes out of sequence or taking some that are not part of the program, all of that adds up to leaving someone with a debt,” UMES Associate VP of Enrollment Management in Student Experience Dr. Reginald Garcon said.
That’s why Dr. Garcon says they’re focused on working with students about what options are available to them. This include providing them information about the FAFSA to differences in loan products. “It should be really used as a last means after you’ve exhausted all your means in seeking grants and scholarships to try and fill up whatever gap you may have,” said Dr. Garcon.
D’Andre says his total student loan balance sits at around $25,000. Although it’s less than the survey’s average it’s still a number he says still lingers over his head. “In a perfect world, I’m trying to pay that off in the first 2-3 years of being out of school. I’ve already started since I graduated trying to pay back $500 every two weeks,” said. Dr. Garcon.
We did reach out to Salisbury University’s financial aid team who was unavailable to speak with us did send over stats for Spring 2023 grads. Most of those students graduated with an average student loan debt of $21,000 which is lower than that survey average.
We’re told students should also shop around with borrowers to find the lowest interest rate. The study used student debt data from the Federal Reserve Bank of New York.
