One of the biggest reasons I started paying extra on my student loans was because I realized how much money was going to interest. When I started paying off my student loans, my minimum payment was $350. About half of those initial payments were going to interest. That means $175 a month - or 10% of my take-home pay at that time -  was being flushed down the toilet. Interest is the money you pay to the bank for letting them lend you money. ... Read more...