<prompt> Human: I am a freshman in college and want to get a head start on my student loans. I read a lot about how much debt people are put into after they are finished college, and I want to take the necessary steps to minimize that as much as possible. Currently I have 2,750 in loans, 1,000 of which is unsubsidized and 1,750 of which is subsidized. I have an interest rate of 4.290 and so far have about 7 in accrued interest.My question is, what is the best course of action to take to minimize how much I have to pay? and what other tips for the future are necessary for me to know?I have the option to either apply my payment as a refund or as a payment. The refund will reduce how much I borrowed from them, and therefore apparently my interest will be calculated accordingly. My other option is to apply it as a payment.I am also unsure as to whether I should stick to just paying off the interest rate or start making actual payments as well.Basically, what is the smartest and most sensible thing to do here? I will of course be drowning in much more debt in the years to come so I want to establish a routine so I dont panic with thousands of dollars that I have to pay once I graduate.  <response>: A refund doesnt pay interest, it gets rid of it entirely on the portion of the unsubsidized loan that is refunded, as if you never borrowed the money at all. A payment will pay the interest first and then a portion of the loan. Assuming the refund will be returned at least partially to the unsubsidized loan go with the refund. 