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A Release of Mortgage is a legal document that confirms a borrower has fully paid off their mortgage loan in Indonesia. When you finish paying your mortgage, your lender must provide this release to officially remove their claim on your property. The document effectively cancels the bank's security interest in your home or land.

Under Indonesian property law, this release must be registered with the local Land Office (Kantor Pertanahan) to update public records. Once registered, it proves you own your property free and clear, letting you sell, refinance, or use it as collateral for future loans. Most Indonesian banks prepare this document automatically after receiving your final payment.

You need a Release of Mortgage immediately after making your final mortgage payment to an Indonesian bank. Getting this document promptly helps prevent future property complications and delays. Most Indonesian homeowners request it when planning to sell their property, apply for a new loan, or transfer ownership to family members.

This release becomes essential during property refinancing, estate planning, or business transactions requiring clear property titles. In Indonesia's property market, having this document ready saves time during due diligence processes and helps avoid legal disputes about ownership status. Banks typically process these releases within 30 days of final payment, but you might need to follow up proactively.

• Full Release: The standard form that completely discharges the mortgage after full payment, typically used for residential properties in Indonesia
• Partial Release: Releases only a portion of mortgaged property while maintaining the lien on remaining portions, common in large land developments
• Conditional Release: Contains specific conditions that must be met before the release becomes effective, often used in complex commercial transactions
• Electronic Release: Digital version filed through Indonesia's electronic land registry system, becoming increasingly common in urban areas
• Satisfaction of Mortgage: Alternative term for Release of Mortgage, functionally identical but preferred by some Indonesian banks

• Banks and Financial Institutions: Prepare and issue the Release of Mortgage after receiving final loan payment, maintaining legal compliance with Indonesian banking regulations
• Property Owners: Request and receive the release document, ensuring their property title is clear from any mortgage claims
• Notaries: Verify and authenticate the release document, ensuring it meets legal requirements under Indonesian property law
• Land Office Officials: Process and register the release in public records, updating property ownership status
• Real Estate Agents: Use the release to confirm property status during sales transactions, protecting buyer interests

• Original Mortgage Details: Gather the mortgage agreement number, registration date, and property certificate details
• Property Information: Compile complete address, land certificate number, and property boundaries as registered with BPN
• Payment Verification: Collect proof of final payment, loan settlement letter, and bank clearance certificate
• Identity Documents: Prepare KTP copies of all parties, including bank representatives and property owners
• Registration Requirements: Check local Land Office specific documentation needs and filing fees
• Document Generation: Use our platform to create a legally-compliant Release of Mortgage that includes all mandatory elements

• Party Details: Full legal names and addresses of lender, borrower, and property owner, plus their authorized representatives
• Property Description: Exact legal description matching the land certificate, including certificate number and location details
• Mortgage Reference: Original mortgage deed number, date, and notary details who executed it
• Release Statement: Clear declaration that the mortgage is fully satisfied and property is released from all claims
• Authorization: Bank official's signature authority and corporate seal placement
• Execution Requirements: Notarization clause and witness provisions as per Indonesian law
• Registration Details: Space for Land Office registration number and official stamps

A Release of Mortgage differs significantly from a Release of Lien in Indonesian property law. While both documents remove claims against property, they serve distinct purposes and apply in different situations.

• Scope of Release: A Release of Mortgage specifically terminates a bank's security interest after full mortgage payment, while a Release of Lien can remove various types of property claims, including contractor's liens, tax liens, or judgment liens
• Issuing Authority: Mortgage releases come from banking institutions, while lien releases can be issued by contractors, government agencies, or court authorities
• Registration Requirements: Mortgage releases must be registered with the Land Office (BPN), while some lien releases may only need notarization without full registration
• Legal Effect: A mortgage release completely clears the property title of the specific mortgage, while a lien release might be partial or conditional depending on the type of lien