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 payoff letter provides instructions on how to pay off a loan with a lump sum before the loan term ends. Learn how payoff letters work. The first step is to get in touch with your lender or loan servicer. You can find their contact information on your monthly statements. You work out a formula. If. 8 you single out banks and I had 10 thousand mortgages and no. Step 2: Format your letter​​ Next, include a paragraph that states your account number, address and phone number. Service Equalization Aid and Maximum Effort School Aid loans.