Few factors to consider when making the decision to either pay off our loans or to invest our money:
Leverage
When in economic meltdown people who are debt free are always in better shape. The percentage of unsecured loan (personal loan) should be minimal as it carries higher interest rates then any secured loan (even if it is for long duration of time).
Interest vs. Income
The annual interest paid on loans should never be beyond 50% of income. It is true that over the life of the loans, paying the loans sooner will make more money than continuing investing and paying the minimum payments.
Paying Down Debt: It's a Sure Thing
It is true that investing isn't easy and doesn't always go the way we want. We all make bad calls from time to time and sometimes it takes a long time for an investment to make the money we hope for. Paying off credit card debt, mortgages and personal loans isn't that way. Paying a debt guarantees that you will make money (or avoid extra payments).
The Disadvantages of Paying Off Your Loans
Some will argue that paying off loans will deprive you of liquid cash. Others will argue that if you pay down a loan attached to an asset that could lose value; you may be throwing money away. While there are complicated calculations that could show that paying off a loan is a less desirable financial choice, let's look at the bottom line: most people don't have the financial knowledge to take advantage of complicated financial instruments that could pay better than debt relief.
Decision
So what to do? Everybody will have an advice or two ready for you on how to spend/manage your funds' but the bottom line remains "What is best for you?" Each individual has his/her share of luck, needs, wishes and dreams. You should collect all the information and do what is best for you and not follow blindly in the footsteps of others.