PLEASE - why can't i get my $2500 back from paying off student loan interest? the woman on the phone said it had to do with standard deductions?? Please help!

Student loan interest paid is not a tax refund or a tax credit.  It is entered on a federal tax return as an Adjustment to Income.  It reduces the amount of income that is taxed thereby lowering your tax liability.

If your total tax payments are greater than your total tax liability then you will receive a tax refund for the overpayment.

Student loan interest paid is not a tax payment.

In addition to the information shared by Champ DoninGA, there are some income limitations and filing status limitations that may come into play when you are claiming student loan interest.  

First, if you are using the Married Filing Separate filing status, you cannot claim the student loan interest deduction at all.

Also, for other filing statuses, if your Modified Adjusted Gross Income (MAGI) is between $70,000 and $85,000 (or between $140,000 and $170,000 for Married Filing Joint),  then your student loan interest deduction is within the phase out range and will be reduced.  If your MAGI is more than $85,000 (or $170,000 if Married Filing Joint), then the student loan interest deduction is eliminated completely.

For the purpose of the student loan interest deduction, the MAGI is the AGI before subtracting the deduction for the student loan interest.

To reiterate the information shared by DoninGA, if you are able to claim the student loan interest deduction, it will reduce your taxes by reducing your taxable income, but it is not a dollar-for-dollar difference in your bottom line refund or balance due.  

@jonathanmcmahon1