I have around $45,800 is my bank account and have the following three loans:
- Loan 1: $6,114 with 6.8% interest rate
- Loan 2: $14,649.21 with 6.8% interest rate
- Loan 3: $2,927.25 with 5.750%
Should I pay everything off now leaving around $23,680 in my bank account or make a payment each month such that I pay off everything in a year? Currently I am paying around $3400 a month on the loan with the highest amount (Loan 2). Should I keep doing this and then pay of Loan 1 and then Loan 3? Or just pay everything now?
Added: Monthly income around $6800, no rent expenses, only some utility and food expenses. No contribution to 401k and am not sure whether to pay like 80% of it now and invest rest in index funds? Also these are student loans. Also I am in the USA.
Added: I ended paying them off.