Are you selling your property or refinancing your home loan?
You will need to notify your current lender that the mortgage they hold is going to be discharged and that your loan will be repaid.
To do this you will need to provide a Discharge Authority Form or Release of Security Form.
This page will be helpful for you to find the discharge forms for all of the major Australian lenders.
How to request a discharge
If you are selling your property then please sign your lender’s discharge form and give it to your conveyancer or solicitor approximately four weeks before settlement & they will handle it all for you.
If you are refinancing your mortgage then please sign your lender’s discharge form and give it to your mortgage broker & they will handle it all for you.
If you are refinancing your mortgage, but are not using a mortgage broker, then please follow the below instructions:
- Commence the discharge at the same time that you apply for your new mortgage, this will avoid delays with the settlement of your loan.
- Print out, complete & sign your lenders discharge form.
- Call your lender and confirm the fax number & mailing address for their discharge department.
- Fax the form to their discharge department. Write the the time & date that your fax was sent on the top of the form & also the number that it was faxed to.
- Mail a copy of the form (not the original) to the lender’s discharge department.
- Set a reminder to call the lender in 48 hrs and confirm that they have received your request. Ask them if they require any additional information.
- They have almost certainly lost the form. Call them and ask for the correct fax number, then refax it to them & set another reminder to call them in 48 hrs and confirm that they have received your request.
- When you sign the loan offer with your new lender, include the original discharge form along with a note letting them know that you have already requested the discharge. Keep a copy of the form for yourself.
- Your new lender will now call your current lender and will arrange settlement.
Is your new mortgage the best deal available?
Are you sure that the loan you are refinancing to is the best one for your situation?
As a specialist mortgage broking company we have access to some refinancing options that are very competitive & that are not available through all other mortgage brokers.
- Low Valuation: We can order valuations with several lenders before submitting a loan application and then pick and choose the lender that comes back with the highest valuation.
- Lenders Mortgage Insurance: Not every lender charges the same premiums for LMI. Use our LMI calculator to check if your LMI premium is competitive & read about our lenders that can waive your LMI entirely!
- Negotiated Interest Rates: If you seeking a large home loan then we can negotiate a special interest rate discount for you.
- Refinance Rebates: Did you know that some lenders will pay you to refinance? Check out our current refinance rebates.
We would love to give you a second opinion. Please call us on 1300 889 743 or enquire online and one of our specialist mortgage brokers will get back to you with several competitive options.
How long does a discharge take?
When you are leaving a lender, they have very little incentive to process your discharge request quickly. In fact, the longer the discharge takes the more money they charge in interest! Some lenders take four weeks to process a discharge, however most will take two weeks.
You should put in your discharge request at the same time as you put in the application for your new home loan, as long as you are confident of getting approved for your new loan.
That way your settlement will not be delayed. A good conveyancer (if you are selling) or mortgage broker (if you are refinancing) will take care of this for you early in the process.
A partial discharge is where you have more than one property secured by a home loan, and you inform the bank that you would like to release one of those properties as security. The most common reason to do this is because you have sold one of your properties.
These are quite complex, we recommend that you talk to your lender to confirm their process & guidelines, and allow up to six weeks for the discharge to go through.
As a general rule the lender will ask you to maintain the LVR that you had on your loan at the time it was approved.
So for example if you have two houses worth $500,000 each & you have a loan for $800,000 secured by those houses then you have an 80% LVR (800,000 / 1,000,000 *100). If you sell one of those houses then the lender will ask you to reduce the loan so that it remains at 80% LVR. So at settlement the lender will require $400,000 from the sale proceeds so that the remaining loan is $400,000 which is at 80% LVR (400,000 / 500,000 *100).
However, if it has been a while since you purchased the houses then maybe they have gone up in value. Let’s say you originally borrowed $800,000 on two houses that were worth $500,000 each.
Since you purchased them they have risen in value to $600,000 each. When you sell one house, the bank may revalue the remaining property and ask you to reduce the loan to $480,000 to keep the loan at 80% LVR which is the same as it was when your loan was approved.
Your conveyancer can assist you with a partial discharge. Please make sure that your conveyancer liaises with the mortgage broker that originally setup the loan to ensure there are no unforeseen complications. Your conveyancer will need to give your bank clear instructions as to what you are doing & how the loan will be restructured. You can view our example notes for a lender to assist them to complete a partial discharge request.
Other lender's discharge forms
- Adelaide Bank Discharge Form
- Advantedge Discharge Form
- Australian First Mortgage (AFM) Discharge Form
- AIMS Home Loans Discharge Form
- AMP Bank Discharge Form
- Aussie Home Loans Discharge Form
- Bank Of QLD Discharge Form
- Bank Of SA Discharge Form
- Bluestone Mortgages Discharge Form
- Better Mortgage Management (BMM) Discharge Form
- Citibank Discharge Form
- Collins Securities Discharge Form
- Credit Union Australia (CUA) Discharge Form
- Heritage Building Society Discharge Form
- Homeloans Ltd Discharge Form
- Homeside Discharge Form
- HSBC Discharge Form
- ING Discharge Form
- Keystart Discharge Form
- La Trobe Financial Discharge Form
- Liberty Financial Discharge Form
- Macquarie Bank Discharge Form
- Members Equity Bank (ME) Discharge Form
- Mortgage Ezy Discharge Form
- Mortgage House Discharge Form
- Newcastle Permanent Building Society Discharge Form
- Pepper Home Loans Discharge Form
- Rams Home Loans Discharge Form
- RESI Home Loans Discharge Form
- RESIMAC Discharge Form
- RHG Home Loans Discharge Form
- Suncorp Metway Bank – Does not have a discharge form, please use a generic form.
- Teachers Credit Union (TCU) Discharge Form
Generic discharge form
Use this form if your lender does not have their own discharge authority form.