Inedible as in anything that isn’t food (ranging from something that would be dangerous, like glass, poisonous plants, or uranium, to something that is safe to eat but unpleasant with no nutritional value, like cardboard.) Eating the thing will be safe and painless.
By eating it, would that mean it’s just instantly paid off or do the lenders just lose any record of you taking a loan? The answer would either mean an infinite money glitch or very confused accountants and getting blacklisted by banks