Based on your financial expertise, provide your response or viewpoint on the given financial question or topic. The response format is open.

To pay off a student loan, should I save up a lump sum payoff payment or pay extra each month?
If the savings rate is the same as the loan rate, mathematically it doesn't make any difference whether you pay down the loan more and save less or vice versa. However, if the loan rate is higher than the savings rate it's better to pay it down as fast as possible. The chart below compares paying down the loan and saving equally (the gradual scenario), versus paying down the loan quickly at 2 x $193 and then saving 2 x $193.  The savings rate, for illustration, is 2%. Paying quickly pays down the loan completely by month 51.  On the other hand, in the gradual scheme the loan can't be paid down (with the savings) until month 54, which then leaves 3 months less for saving.  In conclusion, it's better to pay down the higher rate loan first.  Practically speaking, it may be useful to have some savings available.