<prompt> Human: Hello all. I finally have enough in my savings and checking to pay off my student loan in full. Currently I owe 8k in student loans. I have 10k in savings and 2k in checking. My rent is 1500 a month. I make 75k a year. Would it be smart to just dump everything I have in order to eliminate my student loan forever? Or should I continue to pay the 300 a month I have allocated to pay for the loan? I believe my interest rate on my loan is 7.I grew up fairly poor so having money in the bank is comforting. However, having a student loan on your back sucks. Any advice would help! Edit: wow you guys really are awesome. thank you for all your advice. maybe ill post back in a day or two telling everyone how what course of action i take. thanks again, this is why reddit is awesome.Edit2: Just made a 2,000 dollar payment!!Assistant: I disagree that the interest rate isnt high; OP would get a better return by paying off this loan than they could earn in another type of investment right now. If it were 4 or less, I would be more apt to agree. However, I see ujessherr15 s point that at least its not like credit card debt that can have upwards of 20 interest. OP, it doesnt have to be all or nothing! If I were you, I would keep the 2k in your checking and 3 months of living expenses in your savings 6k? You didnt list other expenses besides rent. Use 4k from your savings to pay off a chunk of your loan, then continue paying 300 per month.Direct any extra money you make bonus at work, selling something you no longer use, getting for recycling aluminum cans, cash for a service like tutoring or odd jobs towards the loan, as well. It can easily be paid off within a year if youre diligent about it. Good luck! And yes, the sidebar has lots of good information written by smart people. Read the articles!Human: other expenses are just food, electric, some extra curriculars, Roth Contribution. i would say my grand total of expenses per month are around 2k per month, being very generous.  <response>: This guy is correct. 3 months of savings in case of emergencies is standard. The rest should absolutely go to paying off your debt. If your income allows it, you should double down on your payments 600 a month instead so you can pay it off sooner. If not, just pay as much as you can. 