How to fill out the Payoff Request Letter Templates? 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 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. Create a Loan Payoff Letter online and download it as a PDF or Word document. Customize and print a blank Loan Payoff Letter for free. Home loan terms explained so you have a better understanding of the mortgage process. A list of mortgage terms and their definitions for your reference.