This is an example of a payoff letter used in a syndicated loan transaction. This payoff letter (including the defined terms such as Lenders,.A mortgage payoff letter can come in two forms. One form tells borrowers the remaining principal amount and interest they have to pay to close out the loan. Sample Forms These sample forms may be useful when filing documents for the civil and family courts. If you have any questions, consult an attorney. Creating a payoff letter is essential to any loan or mortgage repayment process. Our free templates and this guide can help you get started. If you cannot afford to pay the fee, ask the Magisterial District Judge's office for an in forma pauperis form, and fill out your income and expenses on it.