Accrued interest on a student loan is the interest that has accumulated on the loan since it was disbursed but has not yet been paid. This interest is added to the principal balance of the loan, so it increases the total amount you owe. Thus, when you make a payment on your student loan, a portion goes towards paying off the accrued interest and the remaining portion reduces the principal balance.
Accrued interest on student loans can be a significant expense, so it’s important to be aware of it and to make sure you are making payments on your loan regularly. If you are unable to make your payments, you may be able to defer or forbear your loan, which will stop the accrual of interest. However, this can also extend the life of your loan and increase the total amount of interest you pay.