How do I repay with my collateral/deposits in V2 market?

In order to repay with your assets you just need to go to the Aave Dashboard and follow these steps:

• Click on repay on the debt you want to repay.
• Choose repay "With your current collateral"
• Select the asset you want to repay and amount in the left side (Borrowed Asset).
• Select the asset you want to use to repay to in the right side (Select Collateral)
• Make sure to check the swap rate and check the slippage. You can edit it based on your preferences. Depending on the slippage, the expected might differ and the transaction might even fail if you set it too low. After this click on Continue.
• In the next step you need to send the approval and submit the transaction. The approval transaction will only be required the 1st time you do this step, unless you revoke the approval.
• Make sure to have enough ETH for the transaction cost. After sending both transactions your repayment will be done.