Praise be to Allaah.
These papers can be put to good use by giving them to people who can benefit from them, or placing them in a library for that purpose.
If that is not possible, or the papers are not suitable for that purpose, then they may be destroyed by burning or by cutting them up so that the verses of the Qur’aan and the name of Allaah disappear, or they may be buried. If a few words remain there is no harm in that. There are machines that cut paper into long, thin strips (i.e., shredders), which may be used for this purpose. May Allaah help us and you to do all that is good.
Sheikh Muhammed Salih Al-Munajjid