Is the Savings In Interest Worth It

United States
April 6, 2008 12:14pm CST
I have to begin making my student loan payments soon. I have figured out that monthly payments will be roughly $2475 per month or $82.50 a day for 10 years. This is a total of $81,907.10 in interest. If I pay a mere $2.50 more a day, for $85 per day, my monthly payment would total $2550.00. Over the 10 years of the loan, I would only have to make 115 payments instead of 120 payments. So right there I am saving those payments (would I be saving $2550 or $2475?). I would be saving $3731.43 in overall interest. Is this amount of interest worth it in the long run to make the extra payment amount? Or would it be better to just stick with the minimum payment? This is assuming I find a job that lets me make this payment amount.
1 response
@Phlamingho (7822)
• Denmark
6 Apr 08
What!? Do you have to pay USD $2475 per month on a student loan? That really sounds crazy?!?
• United States
6 Apr 08
Depends on how much you borrow. College education and beyond is not cheap these days. College tuition has risen much faster than the cost of living in the last few years.