When I start paying back my student oan will I still be charged monthly interest?

Question

When I start paying back my student oan will I still be charged monthly interest?

Answer 1

As long as you have a balance outstanding you will incur interest charges.

Answer 2

well, kinda depends:

if they are unsubsidized, they have been accruing interest since the loan was disbursed.

subsidized accrues only 6 months after you are done with school (when you make payments)

the interest is simple interest, so you pay the interest off each month (plus extra to the principle) on your normal payment.

you accrue interest daily, which ends up being a dollar a day or more depending on the amount of the loan. when you pay each month, you pay the interest off first, then whatever is left is principle.

if you made a payment 3 days after your normal payment was made, your seconds payment has to satisfy 3 days of interest before the rest is applied to principle.