Document background
The Paid In Full Letter From Lender is a critical document in Nigerian banking and lending practices, issued when a borrower has successfully completed all payment obligations under a loan agreement. This document serves multiple purposes: it provides the borrower with official confirmation that their debt has been fully settled, releases them from further payment obligations, and confirms the discharge of any associated securities or guarantees. The letter is particularly important in the Nigerian context, where it may be required for various purposes including property transactions, new credit applications, or corporate compliance requirements. It must comply with the Banks and Other Financial Institutions Act (BOFIA) 2020 and other relevant Nigerian banking regulations. The document is typically issued upon the borrower's request following the successful completion of all loan payments and the settlement of any associated fees or charges.
