Sahih Muslim 1558 a
The Book of Musaqah
It is recommended to waive debts
Abdullah b. Ka'ab b. Malik reported from his father that he pressed in the mosque Ibn Abu Hadrad for the payment of the debt that he owed to him during the lifetime of Allah's Messenger (ﷺ). (In this altercation) their voices became loud, until Allah's Messenger (ﷺ) heard them, while he was in the house, so Allah's Messenger (ﷺ) came out towards them, and he lifted the curtain of his apartment and he called upon Ka'b b. Malik and said: O Ka'b. He said: At your beck and call, Allah's Messenger (ﷺ) . He pointed out with the help of his hand to remit half of the loan due to him. Ka'b said: Allah's Messenger (ﷺ) , I am ready to do that, whereupon Allah's Messenger (ﷺ) said (to Ibn Abu Hadrad): Stand up and make him the payment (of the rest).