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What happens when a loan is discharged?

If you have a loan discharged, it means that you are no longer under the obligation of paying the loan back. The discharge will also be reported to credit bureaus, which will see that any adverse credit history associated with the loan is reimbursed.

What is loan forgiveness and discharge?

Forgiveness, cancellation, or discharge of your loan means that you are no longer required to repay some or all of your loan.

Can student loans be discharged?

For too long, a myth has persisted that student loans are not dischargeable in bankruptcy. The myth is not true because, in fact, student loans can be discharged bankruptcy. We have seen the Department of Education take important steps to ensure that bankruptcy relief is available to federal student loan borrowers.

What is a discharge statement?

The discharge statement is requested when you plan to pay the mortgage off in full. It lays out the terms and conditions you must meet for the lender to release the borrower and any guarantors from their liability under the mortgage agreement and release the lender's claim on the borrower's collateral (property).

How long does it take to discharge a loan?

Generally it takes between 14-21 business days to complete the discharge process. At one stage it took less time, around 10-14 business days, but these days more people are refinancing their home loan so there are more discharges taking place.

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