*Loan,banking and credit>>>credit line

If I have a line of Credit for 10,000 at 9%, and I have $8000 saved shall I pay it and be without savings?

Here's the scoop.

What rate are you earning on the $8000 saved? If it's less than 9%, then use the $8000 to pay down your LOC balance. After all, if you need it, you an always get it back (since it IS a line of credit!)

That said, if you can find a higher and better use for the $8000 where you'll earn a higher rate than 9%, then you should put it there as long as you're reasonably certain to get those higher returns.

pay off 1/2 and balance the other 1/2 to something either interest free or low interest
I'm not convinced..........
I think you should try to actually put some of that savings into something more agressive,without having to lost it all to pay debt off.
If you have $8000 in a savings account,you won't get very far,so maybe you should move 2 or 3000 into something more agressive and with time you can actually pay that loan off without losing your savings.
My theory is that it is harder to save money than to pay a debt. Keep your savings and repay your monthly loan with as much as you can. That's what I do normally, you just don't know when you are going to need some ready cash.
Pay off half of the 10,000,this reduces your interest payments by 50% and you still have 3,000 savings
I'd personally pay it off or at least half of it. If you pay it off, and return the payments to your savings account, #1 you'll save the interest... If you pay off half of it, then, split up your payments, half to savings, half to line of credit.
I agree with others, and get some of your savings into something a little more aggressive.
Good luck in your decision.