Okay, we'll start off with some backstory. I went to a for-profit university with absolutely no financial assistance, so now I'm in a very large amount of debt. I've read almost everyone on this site suggests to pay down the loans with the higest interest rate first, for the most part as a hard and fast rule.
As it stands right now, I'm doing just that. But now I'm thinking towards the future. When I pay this one off I'm going to need to choose which of the other loans to hammer down and I'm having some trouble deciding. It breaks down like this(round numbers for easy math):
Loan A: Principal balance of $50,000 Interest: 3% Loan B: Principal balance of $15,000 Interest: 5%
Based on the "Pay the highest interest rate first" rule, I should be paying down loan B first, but that doesn't make much sense to me; loan A is accruing more interest every month. Am I correct in assuming that I should be paying down loan A first, or is there more long term math that I'm missing out on? Thanks!