<prompt> Human: So I just graduated and I need to pay off my student loans. Im thankful enough to only have 25,000 in loans all at good interest rates below 5. I have 20,000 in savings that I would be willing to use to pay off these loans in a big chunk right now. However, doing so would wipe out all my savings and leave me with 1,500 in my checking account. Would that make financial sense or should I just continue with the payment plan they are offering and just pay off the loan over time? Is over one year two large payments significantly better than over 5 years?  <response>: You should determine how much you need to have to cover 3-6 months expenses. Set that aside. That is your emergency fund. Pay the rest towards your loans. 