Delete Dropdown License For Free

In the admin center, go to the Billing > Your products page, and select the Products tab. Select the subscription from which you want to remove licenses. On the details page, select Remove licenses.

Go to the Office 365 admin center. In the Microsoft 365 admin center, select User management. Select the employee that you want to block, and then choose Licenses and Apps. On the Licenses and Apps page, un-check the box next to the subscription to remove the license and click Save changes.

To automatically remove Microsoft 365 licenses from disabled users, create a new automation to fetch the licensed Microsoft 365 users whose accounts are disabled, select a predefined task from the Automation Task/Policy field, and remove licenses from the disabled users.

Open Control Panel > Credential Manager. Select Windows Credentials. Remove all credentials listed for Office by selecting the drop-down arrow next to each one, and select Remove. Check for and delete any values present under the following registry key: HKEY_CURRENT_USER\Software\Microsoft\Protected Storage System.

You can try the below steps: Sign out from the Office applications and quit the all Office applications if they are opened. In Windows Credential Manager > Windows Credentials, locate the account that you want to remove and then click Remove.

You can navigate to the Active Users page in Exchange admin centre, navigate to Licenses and Apps tab corresponding to a shared mailbox and uncheck the license.

CAUTION: When a user's license is removed, all data that is associated with that user account is held for 30 days. After the 30 day grace period, the data is deleted and can't be recovered, except for documents that are saved on SharePoint Online and the data in the user's mailbox.