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Given that you say you are able to budget responsibly, I'd say that the debt consolidation loan is definately a good idea, regardless what you do with the $8500. That VISA interest is terrible and the fastest way out of it is to get a consolidation loan.

As for the $8500, I like the RRSP idea but you should consider putting it to use sooner, by temporarily depositing it in the LoC account (either the existing one or the consildated one). Make sure you don't re-borrow this money until next February, at which time you can buy your RRSPs with it. Think of it as a sort of short-term investment except that you're saving interest rather than earning it.

I agree with sprocket that there's no need for an emergency fund as long as you leave room in your LoC. The money will do more good keeping your interest payments down than it will if put aside in a TFSA. You also have less need of emergency funds since you don't have a house to take care of, and because you have a lot of disposible income that could be re-allocated if needed in an emergency.
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