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. 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. Include the loan or mortgage number. A perfect letter of mortgage is presented in this Payoff Statement Template in PDF. This form cannot be used to enforce a small claims judgment. If you receive this form in a small claims case, contact a lawyer.