<prompt> Human: I graduated college last May and in past year Ive eliminated roughly 11k of debt. I recently paid off my credit card and now planning my next move. I have a 2015 honda, I bought it new and its in great shape...I owe 10k on this car. I only make the minimum monthly payments, 36 months left till its mine. Does it make sense that I put 500-1000 toward this loan so I finish paying it off faster OR save that money on the side?I know cars devalue, and Im scared of lets say paying off this 10k loan in next 1 year, and a year later the car to be worth 4year old only around 10-12k, that wouldve been bad investment? Unless I can drive it for few years without any monthly payments or any money towards repairs.  <response>: No information in this thread about your interest rate.This is a vital piece of information. Being debt free is a great goal, but using debt intelligently is also a good goal. If the interest rate is 5and bonus points if 3, then you have bigger fish to fry than the debt. Building an emergency fund, hitting up retirement accounts, etc. And having a new car is a poor decisionslap the next salesman that says investment to you with regards to a depreciating asset, but have a read through the book Millionaire Next Door. If you dont want to downgrade to a used car, then you could make a commitment to own your current car for much longer than only the next 3 years. Own it until it quits on you, 15 years or more from now!Your worries about the car devaluing are misplaced. Paying off the car loan is a guaranteed x interest rate gain, so if youre paying 7 interest rate on it, paying it off would achieve a guaranteed 7 interest return on your money, which is a guarantee you can find nowhere else of such high quality. 