What is discharge fee?
A discharge fee is a one-off administrative charge ($300-$700) your existing lender levies when you pay out the loan — common on refinances and property sales.
A discharge fee is what your current lender charges to formally close out the loan and release their mortgage interest over the property. The fee covers the lender's administrative cost to prepare and lodge the discharge documents at the land titles office.
Typical Australian discharge fees in 2025-26 run $300-$700. Some lenders break it into a lender admin fee ($150-$350) plus a government discharge registration fee ($150-$350), the latter varying by state.
Discharge fees are usually deducted from the loan payout amount at settlement — you don't write a separate cheque. They're worth factoring into refinance economics: a $4,000 cashback offer net of a $600 discharge fee delivers $3,400 of value.
mortgage discharge fee · loan discharge fee
- Refinance — To refinance is to replace your existing home loan with a new one — usually at a sharper rate or with better features — …
- Cashback offer — A cashback offer is a one-off lump sum a lender pays a new or refinancing borrower at settlement — typical Australian of…
General information only — not personal financial advice. Verified against https://ratesniffers.com.au/glossary on 2026-06-01.