On a serious side note, only certain banks get to print money.
It's just like matter and antimatter being created at the same time, money and anti-money (debt) are created at the same time and when they meet, they cancel each other out.
So borrowing literally creates money (and debt), and repaying debts literally deletes money (and debt).
Does the bank itself use its own money to pay off the debt (deleting some of their own money), or do they simply delete the debt?
In principle, it is 'the bank uses its own money to pay off the debt', as long as you accept that the bank's own 'credit worthiness reputation' and other assets count as 'money'. The hit is _ultimately_ taken by the capital shareholders in the bank, which is the important part.