Don't be intimidated by interest rates. Bankers and economists make it sound complicated but it's really simple. An interest rate is the annual percentage you pay when you borrow money. It's how banks, lenders and credit card companies make money. For example... If your interest rate is 5.0% and you borrow $100,000 then you pay $5,000 per year in interest to your lender.
Your goal should be to pay off high interest rate loans first (credit cards and payday loans) because they cost you the most. Then pay down student loans and home mortgages because they have a lower interest rate and cost you less.