Relise is the suspension of part or all of the debt, made by the creditor to the debtor. In other words, it means that the debtor is totally or partially released from his debt.
Normally the creditor resorts to a partial discharge when he believes that it can help him to collect at least the remainder of the debt owed to him by the debtor.
In principle, a reduction is something positive for the debtor who will not have to face the total payment of his debt, but it will also mean that in the future it will be more difficult for him to obtain financing, due to the risk of non-payment that his possible creditors will perceive. In addition, it is possible that if he obtains financing, he will pay an interest rate higher than the market rate, due to the risk of non-payment that a creditor faces when lending him money.
Write-offs can occur between individuals, companies and even countries, which are forgiven part of their foreign debt.