Paying off your student loan early is usually a smart idea.
But be careful when paying more than your minimum monthly payment.
Many banks will apply the extra amount toward your interest, rather than the actual amount of your loantheprincipal.
This is something borrowers dont always realize, he says.
In fact, it happened to me once when putting an extra payment towards my mortgage.
This happened to me, too.
Thankfully, its easy enough to fix.
When I sent in an extra payment, I just needed to write apply to principal on the check.
For more detail, check out the link below.
Paying Your Way Out of Student Loan Hell| CBS News
Photo bySimon Cunningham.
