So the big day has arrived and you have finally paid off your mortgage. Good for you! But there is one more thing you should do to be completely free of your mortgage. You need to clear the title of your house.
You see, most mortgages require that you formally pledge your house to the mortgage company as security (this ensures you will repay the mortgage as promised). To safeguard this security, the mortgage company will formally register a “charge” against the title to your home.
Once you have repaid your mortgage, you should have the mortgage removed from the title of your home. The law in BC requires for the mortgage company to provide you with a discharge document when the mortgage is fully repaid and after you request the discharge.
You must pay the mortgage company to prepare this document, called a Release, but the maximum a credit grantor can charge under the law is $75. After you have the Release, you can either file it yourself with the Land Title and Survey Authority of British Columbia, hire a lawyer or notary to do that for you (the Land Title Office will charge you a small fee to file the Release).
Enjoy living mortgage-free!