$40,000 in student loans at 7% interest costs $464 per month on the standard 10-year repayment plan. Over 10 years, you will pay $15,732 in total interest, making the total cost $55,732.

Key Numbers

• •Monthly payment (standard 10-year plan): $464
• •Total interest over 10 years: $15,732
• •Total cost of the loan: $55,732
• •Paying an extra $100/month pays it off in 7 years 8 months and saves $3,969 in interest