When Manuel had 3 years left of college, he took out a student loan for $14,922. the loan has an annual interest rate of 4.5%. manual graduated 3 years after acquiring the loan and began repaying the loan immediately upon graduation. according to the terms of the loan, Manuel will make monthly payments for 5 years after graduation. during the 3 years he was in school and not making payments, the loan accrued Simple interest.