How to cancel a debenture charged to bank ?

There are several ways a debenture can be cancelled.

1. To settle the outstanding loan in full and cancel the facility.
2. Submit a formal request to bank to cancel the debenture by offering additional security. Sometime bank may consider removing the debenture without asking for additional security if the borrower has long borrowing relationship with the bank and has maintained a good repayment record throughout the period.
3. Apply a fresh bank facility from another bank to redeem the existing loan from the debenture holder. For eg. a borrower can apply a RM2.0 mil facility from Bank B to redeem the existing RM1.0 mil. facility from Bank A.