A Complete Guide To Discharging Your Mortgage

Use your current lender’s discharge form when you sell a property, refinance to another lender or repay your home loan in full. Find your lender in the directory below and follow its current instructions.

If you’re releasing one property from a loan secured by several properties, or asking to remove a guarantor, contact your lender first. Doing this will tell you whether you need a partial discharge, a loan variation or another form.

What Is A Mortgage Discharge?

A mortgage discharge removes a lender’s registered interest in a property title after the loan is repaid or the property is released as security. The lender arranges for the discharge to be registered with the relevant land titles authority.

Paying off your loan does not always remove the mortgage from the title automatically. Ask your lender what steps you need to complete.

When should I discharge my mortgage?

You’ll usually need to request a discharge when you:

Before closing a loan, ask about any fixed-rate break costs and what happens to linked offset or redraw facilities.

Generic Discharge Form Template

Use this form if your lender doesn’t have their own discharge authority form.

• Generic Discharge Form

How To Request A Mortgage Discharge (Step- By-Step)

Follow these six steps of the mortgage discharge process:

Step 1: Notify your lender

Contact your lender and let them know of your intention to discharge. Ask about their specific requirements such as the discharge fee and the expected timeline. If you’re on a fixed-rate loan, request a break cost estimate.

If you have a mortgage broker, they can handle this request for you.

Step 2: Complete the discharge authority form

Download or access the discharge authority form for your lender using the links or calling your lender. Complete all sections accurately, including: full legal names of all borrowers, home loan account number(s), property address and Certificate of Title reference, and bank details for any refund of excess funds.

Step 3: Submit the form

• If selling: give the signed form to your conveyancer at least four weeks before settlement.
• If refinancing with a broker: hand the form to your broker who will coordinate with both lenders.
• If refinancing without a broker: submit the form directly to your current lender at the same time as applying for your new loan.

Step 4: Confirm the payout figure

Your lender will calculate a final payout figure, which includes the remaining loan balance, accrued interest, and any applicable discharge fees.

Step 5: Lender processes the discharge

Your lender prepares the discharge documents and either lodges them electronically via PEXA or sends paper documents to your conveyancer for manual lodgement at the Land Titles Office.

Step 6: Settlement and title update

At settlement, the mortgage is removed from your property title. You will receive confirmation or an updated Certificate of Title, showing the lender has been removed.

How Long Does A Mortgage Discharge Take?

A standard mortgage discharge in Australia takes 10 to 21 business days, assuming the paperwork is complete and there are no complications. Most major banks process standard variable rate discharges within 10–15 business days.

Mortgage Discharge Forms By Lender

Use the lender’s own current form or online process. For lenders without a direct form link below, contact the lender and ask how to request its discharge authority.

Use the lender’s own current form or online process. For lenders without a direct form link below, contact the lender and ask how to request its discharge authority.

Contact details and form links can change. Confirm them with each lender before relying on or republishing this directory. If your lender is not listed, contact it directly and ask for its current discharge authority. Use a generic form only if your lender confirms it accepts one.

Contact details and form links can change. Confirm them with each lender before relying on or republishing this directory. If your lender is not listed, contact it directly and ask for its current discharge authority. Use a generic form only if your lender confirms it accepts one.

How To Request A Mortgage Discharge

Step 1: Contact your lender

Tell the lender why you need the discharge and ask about its form, fees, submission method and processing time. If you have a fixed-rate loan, request a written break-cost estimate before proceeding.

Step 2: Complete the lender’s form

Follow the lender’s instructions. You’ll usually need the full legal names of the borrowers and guarantors, loan account number, property address, title details and settlement representative’s details.

Check who needs to sign. Missing information or signatures can delay processing.

Step 3: Submit the form

Submit it through the lender’s stated channel. If you’re selling, coordinate the form with your conveyancer. If you’re refinancing, ask your new lender or broker who will coordinate with your current lender.

Step 4: Check the payout figure

Your lender will provide the amount needed to repay the loan. It may include the remaining balance, interest to settlement and applicable fees or break costs.

Step 5: Coordinate settlement and registration

Your lender and settlement representative will arrange the settlement and lodgement steps that apply to your transaction. Ask your conveyancer how you’ll receive confirmation that the mortgage has been removed from the title.

How Long Does A Mortgage Discharge Take?

The timeframe depends on the lender, the type of discharge and whether the lender receives complete information. Follow the timeframe stated by your lender and allow extra time if it needs more documents, a valuation or a manual process.

For example, ANZ’s current DAVA form specifies a minimum processing period of 10 business days when the required information and supporting documents are provided. That is ANZ’s timeframe, not a standard that applies to every lender.

Many property settlements use electronic lodging. Your conveyancer or settlement representative will confirm the process for your transaction.

What Is A Partial Discharge?

A partial discharge releases one property from a loan secured by more than one property. The loan remains in place, but the lender removes one property from the security.

The lender assesses the remaining security and the loan after the release. It may require you to reduce the loan balance before approving the request.

When Do You Need A Partial Discharge?

Ask your lender about a partial discharge if you want to:

• Sell one property that secures a loan over several properties
• Release a guarantor or a guarantor’s property
• Separate properties linked to the same loan
• Change the property held as security

The lender will confirm which form and supporting documents it needs.

How Does A Partial Discharge Work?

The lender checks whether the remaining property or properties provide enough security for the loan. It may request a valuation and set conditions, such as reducing the loan balance using some of the sale proceeds.

For example, imagine two properties valued at $500,000 each secure an $800,000 loan. If one property is sold, the lender will assess whether the remaining property supports the loan balance. The outcome depends on the lender’s assessment and the property value it accepts.

What If The Remaining Property Has Increased In Value?

A higher accepted value for the property you’re keeping may affect how much of the loan the lender asks you to repay. The lender decides whether to order a valuation and what loan balance it will accept against the remaining security.

How Much Does It Cost To Discharge A Mortgage?

Your costs depend on the lender, the state or territory, and the type of discharge. The lender may charge a discharge or settlement fee, and a government registration fee may also apply. Fixed-rate break costs or valuation costs can add to the total.

Ask your lender and conveyancer for current amounts before settlement. Fees change, so confirm them for your specific transaction.

Is It A Good Idea To Discharge Your Mortgage Early?

A discharge is usually part of selling or refinancing. Before closing the loan, check:

• Whether a fixed-rate break cost applies
• What happens to any linked offset or redraw facility
• Whether the costs of refinancing outweigh the expected savings
• Whether the discharge will affect other properties or guarantees linked to the loan

Ask the lender for a payout figure and compare the full switching costs with the expected benefit.