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.This is an example of a payoff letter used in a syndicated loan transaction. This payoff letter (including the defined terms such as Lenders,. Creating a payoff letter is essential to any loan or mortgage repayment process. Our free templates and this guide can help you get started. A detailed analysis of your ability to afford the purchase of a home. An upper limit on the interest rate that applies to a loan, e.g. An adjustable rate mortgage. Note, Security and Guaranties: Release (6-381-2932)).