diff --git a/nvm.sh b/nvm.sh
index c2d869ab..204c396b 100755
--- a/nvm.sh
+++ b/nvm.sh
@@ -1117,6 +1117,19 @@ nvm_change_path() {
   fi
 }
 
+nvm_hash_reset() {
+  # under `set +h` there is no cache to clear, and `hash -r` errors
+  if [ -n "${BASH_VERSION-}" ] && [ "${-#*h}" = "$-" ]; then
+    return 0
+  fi
+  # `ksh93`'s `hash` takes no `-r` and its usage error is fatal; probing in a
+  # subshell contains it, and spares the `ksh` variants that do accept `-r`
+  if [ -n "${KSH_VERSION-}" ] && ! ( \hash -r ) >/dev/null 2>&1; then
+    return 0
+  fi
+  \hash -r
+}
+
 nvm_binary_available() {
   # binaries started with node 0.8.6
   nvm_version_greater_than_or_equal_to "$(nvm_strip_iojs_prefix "${1-}")" v0.8.6
@@ -4228,7 +4241,7 @@ nvm() {
         fi
       else
         export PATH="${NEWPATH}"
-        \hash -r
+        nvm_hash_reset
         if [ "${NVM_SILENT:-0}" -ne 1 ]; then
           nvm_echo "${NVM_DIR}/*/bin removed from \${PATH}"
         fi
@@ -4373,7 +4386,7 @@ nvm() {
         export MANPATH
       fi
       export PATH
-      \hash -r
+      nvm_hash_reset
       export NVM_BIN="${NVM_VERSION_DIR}/bin"
       export NVM_INC="${NVM_VERSION_DIR}/include/node"
       if [ "${NVM_SYMLINK_CURRENT-}" = true ]; then
@@ -4980,7 +4993,7 @@ nvm() {
         nvm_echo_with_colors nvm_err_with_colors \
         nvm_get_artifact_compression nvm_install_binary_extract nvm_extract_tarball \
         nvm_process_nvmrc nvm_process_nvmrc_content nvm_nvmrc_invalid_msg \
-        nvm_write_nvmrc \
+        nvm_write_nvmrc nvm_hash_reset \
         >/dev/null 2>&1
       unset NVM_NODEJS_ORG_MIRROR NVM_IOJS_ORG_MIRROR NVM_DIR \
         NVM_CD_FLAGS NVM_BIN NVM_INC NVM_MAKE_JOBS NVM_INSTALL_LOCK \
diff --git a/test/fast/Running 'nvm use' and 'nvm deactivate' with hashing disabled b/test/fast/Running 'nvm use' and 'nvm deactivate' with hashing disabled
new file mode 100755
index 00000000..990ce6e6
--- /dev/null
+++ b/test/fast/Running 'nvm use' and 'nvm deactivate' with hashing disabled	
@@ -0,0 +1,45 @@
+#!/bin/bash
+
+# the `bash` shebang is deliberate: only bash can exhibit the bug, so pinning
+# it keeps this meaningful in every job of the shell matrix
+
+die () { echo "$@" ; cleanup ; exit 1; }
+cleanup () {
+  set -h
+  rm -f "${OUTPUT_FILE-}"
+}
+
+export NVM_DIR="$(cd ../.. && pwd)"
+
+: nvm.sh
+\. ../../nvm.sh
+\. ../common.sh
+
+make_fake_node v0.2.3 || die 'unable to make fake node'
+
+OUTPUT_FILE="$(mktemp)"
+
+set +h
+
+# not in a command substitution, so the `PATH` it sets survives to `nvm deactivate`
+nvm use --delete-prefix v0.2.3 > "${OUTPUT_FILE}" 2>&1
+OUTPUT="$(cat "${OUTPUT_FILE}")"
+case "${OUTPUT}" in
+  *'hash: '*) die "nvm use complained about hashing: ${OUTPUT}" ;;
+esac
+case "${OUTPUT}" in
+  *'Now using node v0.2.3'*) ;;
+  *) die "nvm use did not activate v0.2.3: ${OUTPUT}" ;;
+esac
+
+nvm deactivate > "${OUTPUT_FILE}" 2>&1
+OUTPUT="$(cat "${OUTPUT_FILE}")"
+case "${OUTPUT}" in
+  *'hash: '*) die "nvm deactivate complained about hashing: ${OUTPUT}" ;;
+esac
+case "${OUTPUT}" in
+  *'removed from ${PATH}'*) ;;
+  *) die "nvm deactivate did not strip the nvm bin dir: ${OUTPUT}" ;;
+esac
+
+cleanup
diff --git a/test/fast/Running 'nvm use' does not leave a stale hashed node b/test/fast/Running 'nvm use' does not leave a stale hashed node
new file mode 100755
index 00000000..4629dc50
--- /dev/null
+++ b/test/fast/Running 'nvm use' does not leave a stale hashed node	
@@ -0,0 +1,29 @@
+#!/bin/sh
+
+die () { echo "$@" ; exit 1; }
+
+export NVM_DIR="$(cd ../.. && pwd)"
+
+: nvm.sh
+\. ../../nvm.sh
+\. ../common.sh
+
+make_fake_node v0.2.3 || die 'unable to make fake node v0.2.3'
+make_fake_node v0.10.1 || die 'unable to make fake node v0.10.1'
+
+nvm use --delete-prefix v0.2.3 >/dev/null 2>&1 || die 'failed to activate v0.2.3'
+
+# run `node` from this shell, so that the shell caches where it found it
+node >/dev/null 2>&1 || die 'fake node v0.2.3 is not runnable'
+
+nvm use --delete-prefix v0.10.1 >/dev/null 2>&1 || die 'failed to activate v0.10.1'
+
+ACTUAL="$(node)"
+[ "${ACTUAL}" = 'v0.10.1' ] || die "expected node v0.10.1 after switching versions, got '${ACTUAL}'"
+
+nvm deactivate >/dev/null 2>&1 || die 'failed to deactivate'
+
+RESOLVED="$(command -v node || true)"
+case "${RESOLVED}" in
+  "${NVM_DIR}"/*) die "after deactivating, node still resolves inside \${NVM_DIR}: ${RESOLVED}" ;;
+esac
diff --git a/test/fast/Unit tests/nvm_hash_reset b/test/fast/Unit tests/nvm_hash_reset
new file mode 100755
index 00000000..4520eff7
--- /dev/null
+++ b/test/fast/Unit tests/nvm_hash_reset	
@@ -0,0 +1,27 @@
+#!/bin/sh
+
+die () { echo "$@" ; exit 1; }
+
+: nvm.sh
+\. ../../../nvm.sh
+
+# also covers #3247, where `command hash -r` found a `hash` binary, not the builtin
+OUTPUT="$(nvm_hash_reset 2>&1)"
+RC=$?
+[ ${RC} -eq 0 ] || die "nvm_hash_reset returned ${RC}: ${OUTPUT}"
+[ -z "${OUTPUT}" ] || die "nvm_hash_reset was not silent: ${OUTPUT}"
+
+# bash is the only supported shell that can turn hashing off
+if [ -n "${BASH_VERSION-}" ]; then
+  set +h
+  OUTPUT="$(nvm_hash_reset 2>&1)"
+  RC=$?
+  set -h
+  [ ${RC} -eq 0 ] || die "with hashing disabled, nvm_hash_reset returned ${RC}: ${OUTPUT}"
+  [ -z "${OUTPUT}" ] || die "with hashing disabled, nvm_hash_reset was not silent: ${OUTPUT}"
+
+  ls >/dev/null 2>&1
+  hash -t ls >/dev/null 2>&1 || die 'expected `ls` to be hashed'
+  nvm_hash_reset || die 'with hashing enabled, nvm_hash_reset failed'
+  ! hash -t ls >/dev/null 2>&1 || die 'nvm_hash_reset did not clear the hash table'
+fi