The mortgage discharge or lien release is recorded. How to fill out the Payoff Request Letter Templates?An auto loan payoff letter is just a way to prove that you have paid in full for a car. If you are selling your vehicle, often the buyer will ask to. Check out our loan payoff statement template selection for the very best in unique or custom, handmade pieces from our templates shops. A payoff agreement is an informal contract in which a creditor agrees to accept the balance of a debt owed as full payment. 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're sending the check via mail, make sure it's timed so it gets in the lender's hands before the payoff amount days are up. Any excess amount that you pay will be refunded.