Colleges With the Highest Rate of Private Student Loans in Every State

Check out our detailed analysis of every college in every state to find which schools have the highest proportion of beginning students with private student loans.

Colleges With the Highest Rate of Private Student Loans in Every State
Wei Zeng

Although the majority of college students who take out student loans get federal loans, a sizable minority secure private student loans. While federal student loans typically have lower interest rates and the potential for loan forgiveness, there are several reasons why a college-bound student would take out a private student loan

For example, a student may not meet the eligibility requirements for a federal student loan or could have a very good credit score and thus can get a private student loan at a good rate and repayment schedule. What’s more, private student loans are not limited in the amount one can borrow, unlike federal student loans.

In order to identify the colleges with the highest proportion of beginning students with private student loans, BrokeScholar sourced the latest data from the National Center for Education Statistics (NCES). We then went state by state, examining all colleges and universities with an undergraduate population of at least 1,000, and compiled the percentage of beginning students with “other student loans” aka ones that were not federal student loans.

Read on to find out which colleges and universities have the highest rate of students with private student loans.

Colleges With the Highest Rate of Private Student Loans in Every State

Looking over the 50 states, plus the District of Columbia, the colleges with the highest proportion of beginning students with private student loans do display some patterns. For example, several private not-for-profit Catholic schools rank as the No. 1 college in their state with the highest rate of private student loans: Mount St. Mary’s University in Maryland; Loyola University New Orleans in Louisiana; and Saint Joseph’s College of Maine in Maine, for example. Indeed, religious-affiliated colleges tend to have higher rates of private student loans, such as in the case of Illinois Wesleyan University in Illinois at 35%, Central Methodist University in Missouri at 25%, Taylor University (evangelical Christian) in Indiana at 23%

There are also some individual schools that really stand out. For instance, Hillsdale College in Michigan does not abide by federal regulations for higher education and, thus, doesn’t accept the FAFSA and federal student loans in general. As a result, 34% of beginning students at Hillsdale College have private student loans. Another interesting case is the Quaker-affiliated William Penn University in Iowa, where 96% of beginning students have private student loans.

Therefore, let’s break down, state by state, the colleges and universities that have the highest proportion of beginning, full-time students with private student loans:

Alabama

College or university: The University of Alabama

Percent of beginning students with private student loans: 9%

Average amount of loan aid received: $23,617

Graduation rate: 72%

Alaska

College or university: University of Alaska Fairbanks

Percent of beginning students with private student loans: 2%

Average amount of loan aid received: $13,596

Graduation rate: 38%

Arizona

College or university: Embry-Riddle Aeronautical University

Percent of beginning students with private student loans: 20%

Average amount of loan aid received: $29,106

Graduation rate: 20%

Arkansas

College or university: University of Arkansas Grantham

Percent of beginning students with private student loans: 13%

Average amount of loan aid received: $3,880

Graduation rate: 28%

California

College or university: Westmont College

Percent of beginning students with private student loans: 25%

Average amount of loan aid received: $4,810

Graduation rate: 73%

Colorado

College or university: Colorado School of Mines

Percent of beginning students with private student loans: 9%

Average amount of loan aid received: $24,651

Graduation rate: 83%

Connecticut

College or university: University of New Haven

Percent of beginning students with private student loans: 22%

Average amount of loan aid received: $22,327

Graduation rate: 66%

Delaware

College or university: University of Delaware

Percent of beginning students with private student loans: 8%

Average amount of loan aid received: $19,017

Graduation rate: 82%

District of Columbia

College or university: Catholic University

Percent of beginning students with private student loans: 9%

Average amount of loan aid received: $22,405

Graduation rate: 74%

Florida

College or university: The University of Tampa

Percent of beginning students with private student loans: 27%

Average amount of loan aid received: $9,478

Graduation rate: 62%

Georgia

College or university: Toccoa Falls College

Percent of beginning students with private student loans: 25%

Average amount of loan aid received: $6,143

Graduation rate: 53%

Hawaii

College or university: Hawaii Pacific University

Percent of beginning students with private student loans: 9%

Average amount of loan aid received: $22,900

Graduation rate: 42%

Idaho

College or university: Northwest Nazarene University

Percent of beginning students with private student loans: 13%

Average amount of loan aid received: $11,288

Graduation rate: 63%

Illinois

College or university: Illinois Wesleyan University

Percent of beginning students with private student loans: 35%

Average amount of loan aid received: $6,781

Graduation rate: 81%

Indiana

College or university: Taylor University

Percent of beginning students with private student loans: 23%

Average amount of loan aid received: $4,642

Graduation rate: 77%

Iowa

College or university: William Penn University

Percent of beginning students with private student loans: 96%

Average amount of loan aid received: $2,104

Graduation rate: 32%

Kansas

College or university: Baker University

Percent of beginning students with private student loans: 13%

Average amount of loan aid received: $8,291

Graduation rate: 62%

Kentucky

College or university: The Southern Baptist Theological Seminary

Percent of beginning students with private student loans: 23%

Average amount of loan aid received: $13,723

Graduation rate: 42%

Louisiana

College or university: Loyola University New Orleans

Percent of beginning students with private student loans: 6%

Average amount of loan aid received: $16,032

Graduation rate: 62%

Maine

College or university: Saint Joseph’s College of Maine

Percent of beginning students with private student loans: 33%

Average amount of loan aid received: $16,402

Graduation rate: 68%

Maryland

College or university: Mount St. Mary’s University

Percent of beginning students with private student loans: 12%

Average amount of loan aid received: $15,802

Graduation rate: 61%

Massachusetts

College or university: Worcester Polytechnic Institute

Percent of beginning students with private student loans: 39%

Average amount of loan aid received: $13,871

Graduation rate: 87%

Michigan

College or university: Hillsdale College

Percent of beginning students with private student loans: 34%

Average amount of loan aid received: $10,497

Graduation rate: 88%

Minnesota

College or university: University of St. Thomas

Percent of beginning students with private student loans: 52%

Average amount of loan aid received: $4,899

Graduation rate: 78%

Mississippi

College or university: University of Mississippi (Ole Miss)

Percent of beginning students with private student loans: 9%

Average amount of loan aid received: $20,037

Graduation rate: 68%

Missouri

College or university: Central Methodist University

Percent of beginning students with private student loans: 25%

Average amount of loan aid received: $2,805

Graduation rate: 47%

Montana

College or university: Carroll College

Percent of beginning students with private student loans: 6%

Average amount of loan aid received: $15,569

Graduation rate: 67%

Nebraska

College or university: Creighton University

Percent of beginning students with private student loans: 295

Average amount of loan aid received: $6,391

Graduation rate: 79%

Nevada

College or university: University of Nevada, Reno

Percent of beginning students with private student loans: 4%

Average amount of loan aid received: $12,013

Graduation rate: 63%

New Hampshire

College or university: Dartmouth College

Percent of beginning students with private student loans: 37%

Average amount of loan aid received: $5,335

Graduation rate: 94%

New Jersey

College or university: Monmouth University

Percent of beginning students with private student loans: 17%

Average amount of loan aid received: $14,337

Graduation rate: 69%

New Mexico

College or university: University of New Mexico

Percent of beginning students with private student loans: 2%

Average amount of loan aid received: $10,500

Graduation rate: 54%

New York

College or university: Alfred University

Percent of beginning students with private student loans: 34%

Average amount of loan aid received: $4,541

Graduation rate: 60%

North Carolina

College or university: Wingate University

Percent of beginning students with private student loans: 25%

Average amount of loan aid received: $10,227

Graduation rate: 61%

North Dakota

College or university: North Dakota State University

Percent of beginning students with private student loans: 28%

Average amount of loan aid received: $11,868

Graduation rate: 65%

Ohio

College or university: Ohio Northern University

Percent of beginning students with private student loans: 22%

Average amount of loan aid received: $16,089

Graduation rate: 76%

Oklahoma

College or university: Oral Roberts University

Percent of beginning students with private student loans: 25%

Average amount of loan aid received: $6,428

Graduation rate: 59%

Oregon

College or university: George Fox University

Percent of beginning students with private student loans: 11%

Average amount of loan aid received: $18,780

Graduation rate: 69%

Pennsylvania

College or university: Wilkes University

Percent of beginning students with private student loans: 32%

Average amount of loan aid received: $16,328

Graduation rate: 61%

Rhode Island

College or university: Roger Williams University

Percent of beginning students with private student loans: 25%

Average amount of loan aid received: $21,353

Graduation rate: 70%

South Carolina

College or university: The Citadel

Percent of beginning students with private student loans: 17%

Average amount of loan aid received: $26,781

Graduation rate: 73%

South Dakota

College or university: University of Sioux Falls

Percent of beginning students with private student loans: 18%

Average amount of loan aid received: $11,977

Graduation rate: 58%

Tennessee

College or university: King University

Percent of beginning students with private student loans: 9%

Average amount of loan aid received: $16,147

Graduation rate: 46%

Texas

College or university: Schreiner University

Percent of beginning students with private student loans: 20%

Average amount of loan aid received: $17,396

Graduation rate: 45%

Utah

College or university: Westminster College

Percent of beginning students with private student loans: 9%

Average amount of loan aid received: $17,786

Graduation rate: 63%

Vermont

College or university: Vermont Tech

Percent of beginning students with private student loans: 21%

Average amount of loan aid received: $15,574

Graduation rate: 54%

Virginia

College or university: Shenandoah University

Percent of beginning students with private student loans: 15%

Average amount of loan aid received: $19,715

Graduation rate: 64%

Washington

College or university: Walla Walla University

Percent of beginning students with private student loans: 29%

Average amount of loan aid received: $3,631

Graduation rate: 64%

West Virginia

College or university: West Virginia University

Percent of beginning students with private student loans: 15%

Average amount of loan aid received: $16,332

Graduation rate: 64%

Wisconsin

College or university: Beloit College

Percent of beginning students with private student loans: 46%

Average amount of loan aid received: $3,810

Graduation rate: 73%

Wyoming

College or university: University of Wyoming

Percent of beginning students with private student loans: 5%

Average amount of loan aid received: $14,983

Graduation rate: 60%

The Bottom Line on Private Student Loans at Colleges

Based on our research, the college with the highest rate of beginning students with private student loans is William Penn University in Iowa, at an astounding 96%. At the other end of the spectrum are Alaska’s University of Alaska Fairbanks at 2% and New Mexico’s University of New Mexico at 2% as well. Below you’ll find a table ranking the states in order of the percentage of students with private student loans:

Rank

State

College/University

% of Beginning Students with Private Student Loans

Avg. Amount of Loan Aid Received

Graduation Rate

1

Iowa

William Penn University

96%

$2,104

32%

2

Minnesota

University of St Thomas

52%

$4,899

78%

3

Wisconsin

Beloit College

46%

$3,810

73%

4

Massachusetts

Worcester Polytechnic Institute

39%

$13,871

87%

5

New Hampshire

Dartmouth College

37%

$5,335

94%

6

Illinois

Illinois Wesleyan University

35%

$6,781

81%

7

Michigan

Hillsdale College

34%

$10,497

88%

8

New York

Alfred University

34%

$4,541

60%

9

Maine

Saint Joseph's College of Maine

33%

$16,402

68%

10

Pennsylvania

Wilkes University

32%

$16,328

61%

11

Nebraska

Creighton University

29%

$6,391

79%

12

Washington

Walla Walla University

29%

$3,631

64%

13

North Dakota

North Dakota State University

28%

$11,868

65%

14

Florida

University of Tampa

27%

$9,478

62%

15

California

Westmont College

25%

$4,810

73%

16

Georgia

Toccoa Falls College

25%

$6,143

53%

17

Missouri

Central Methodist University

25%

$2,805

47%

18

North Carolina

Wingate University

25%

$10,227

61%

19

Oklahoma

Oral Roberts University

25%

$6,428

59%

20

Rhode Island

Roger Williams University

25%

$21,353

70%

21

Indiana

Taylor University

23%

$4,642

77%

22

Kentucky

The Southern Baptist Theological Seminary

23%

$13,723

42%

23

Connecticut

University of New Haven

22%

$22,327

66%

24

Ohio

Ohio Northern University

22%

$16,089

76%

25

Vermont

Vermont Technical College

21%

$15,574

54%

26

Arizona

Embry-Riddle Aeronautical University

20%

$29,106

70%

27

Texas

Schreiner University

20%

$17,396

45%

28

South Dakota

University of Sioux Falls

18%

$11,977

58%

29

New Jersey

Monmouth University

17%

$14,337

69%

30

South Carolina

Citadel Military College of South Carolina

17%

$26,781

73%

31

Virginia

Shenandoah University

15%

$19,715

64%

32

West Virginia

West Virginia University

15%

$16,332

64%

33

Arkansas

University of Arkansas Grantham

13%

$3,880

28%

34

Idaho

Northwest Nazarene University

13%

$11,288

63%

35

Kansas

Baker University

13%

$8,291

62%

36

Maryland

Mount St. Mary's University

12%

$15,802

61%

37

Oregon

George Fox University

11%

$18,780

69%

38

Alabama

The University of Alabama

9%

$23,617

72%

39

Colorado

Colorado School of Mines

9%

$24,651

83%

40

District of Columbia

Catholic University

9%

$22,405

74%

41

Hawaii

Hawaii Pacific University

9%

$22,900

42%

42

Mississippi

University of Mississippi

9%

$20,037

68%

43

Tennessee

King University

9%

$16,147

46%

44

Utah

Westminster College

9%

$17,786

63%

45

Delaware

University of Delaware

8%

$19,017

82%

46

Louisiana

Loyola University New Orleans

6%

$16,032

62%

47

Montana

Carroll College

6%

$15,569

67%

48

Wyoming

University of Wyoming

5%

$14,983

60%

49

Nevada

University of Nevada-Reno

4%

$12,013

63%

50

Alaska

University of Alaska Fairbanks

2%

$13,596

38%

51

New Mexico

University of New Mexico

2%

$10,500

54%

It’s crucial to remember that student loans are not the only way to get money to help pay for college. Applying for scholarships and winning one (or more) is one of the best ways to earn financial aid that doesn’t have to be paid back — unless, for example, you lose your scholarship. Hence, if you’re looking for financial aid in order to attend college, check out BrokeScholar’s huge collection of college scholarships and grants and see which ones you qualify for.

Andrew DePietro

Author: Andrew DePietro

Senior Researcher, and Content Strategist

Andrew DePietro is a finance writer covering topics such as entrepreneurship, investing, real estate and college for BrokeScholar, Forbes, CreditKarma, and more.