Decide Whether to Save or Pay Off Debt First

There's money left at month-end, and a quiet argument in your head about whether it should pay down the card or pad the savings. This thinks it through with you: the interest-rate test, why a small buffer matters even with debt, and why a credit card and a student loan are not the same problem. For anyone weighing the two and wanting a reasoned call.

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You have some money left at the end of the month and are trying to decide whether to put it into savings or use it to pay down existing debt.
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<task>
Help think through this decision:
1. The interest rate test: comparing your debt interest rate with what savings pay
2. Emergency fund exception: why having a small buffer matters even with debt
3. Debt type matters: high-interest credit cards vs student loans vs car finance
4. Psychological factors: the motivational case for clearing a smaller debt first
5. A simple decision rule for beginners

Present the considerations clearly without giving regulated financial advice.
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<output_format>
- One paragraph per point (50-70 words each)
- Decision flowchart in text form: 3-step logic
- Length: 350-420 words
- Tone: balanced and practical
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