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A permissive note release is a receipt provided to a borrower, confirming that their debt and any accrued interest have been fully paid. This release is signed by the lender, officially freeing the borrower from the loan obligation. Key elements of a permissive note release include the names of the borrower and lender, the dates of both the original note and the release, the total debt paid, and the lender's signature. It does not require a witness or notary. Both parties should retain signed copies for their records. To avoid clerical errors, it is advisable to file the release with the original promissory note for future reference if the loan's payment status is questioned.
