<prompt> Human: I have a loan of 20K with a 2.85 interest and a monthly payment of 700 usd which is pretty heavy on me. My netto is salary is around 3.6K USD and I have a monthly rent of 800 USD. I have a one time bonus coming soon from work which is exactly the same amount of money as a loan. I dont know if I should use the money to close the loan or just keep the money aside.Some info - married with a little kid. Wife not working currently but maybe will start in the near future.Thanks in advance for help.Edit - added interest rate.  <response>: Paying the loan off seems like a great idea. The debt will be gone and you can put the 700 a month to something else, preferably building an emergency fund. 