Writing a letter to the bank about such a situation can be a bit daunting, but don't worry, I've got you covered! 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. 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 Note Form must match the legal documentation requirement as described in the product description. What is a mortgage payoff statement? It details the exact money needed to pay off a mortgage. Do you need a loan payoff request form? Curious about how to get started with a personal loan?