<prompt> Human: I owe 15k on an auto loan at 8.99. I have finally achieved the 6 month savings of 15k too. Is it better to have the savings or to pay of the auto loan?It would boost my monthly budget by 400, which would be really nice.  <response>: The whole should I use my emergency fund to pay of debt will rage on forever. There is not simple yes or no answer because it depends on the person. Pay off the debt is great because not only will you not have to make payments, but you will save money by avoiding the interest. But what happens if you have an emergency? Do you have health insurance? Can you cover the deductible? Do you have steady work? If you can pay off the loan and then quickly build up your savings stockpile then Id go for it, but make sure you can live without that 15K buffer. 