P-C, a couple thoughts on your finances.
First, you're doing very well. People at your stage of life are more likely to be worrying about how to pay the rent than whether to use savings to pay off debt completely. So feel good about yourself for having that kind of problem.
On whether to pay off, I'm going to take a bit of a contrarian view. It's a very good idea to have some savings as a fallback in case of emergencies. The conventional wisdom is to have at least 3-6 months' expenses socked away (my goal is to have at least 6 paychecks, or 12 weeks' take-home pay, which is more than 3 months' expenses). So I'd suggest that you not pay off the student loan if it takes your savings below that level.
Can't argue with the folks encouraging you to look at consolidation or other options that may reduce the interest rate. But I'll add that you can pay down the principal without paying off completely. Either in a lump sum or by adding a little something extra every month. (We do the latter with our mortgage -- it's surprising how fast the benefits show up on monthly statements!)
Finally, a subject that neither you nor anyone else raised, but it crossed my mind. How well are your savings working for you? I recently moved a fair amount of my liquid reserve (that 3-6 months expenses I was talking about above) from a bank account paying 0.2% to a bank account paying over 4%. Same safety, big difference in return. (A short-term corporate bond mutual fund is a little riskier -- but not a lot -- and can also offer decent return.)
On a similar topic, if you have your liquid reserve in place, you might want to look at investing with a longer timeframe in mind. I'm not giving any advice on specifics, but if you want to look in that direction, find a copy of Investing for Dummies, Kiplinger's Personal Finance magazine, or the like.