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 shows the remaining balance on your mortgage, including fees, interest, etc. Learn more about what a payoff quote is and how to request one. How to fill out the Payoff Request Letter Templates? 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. 1) Call the mortgage department and request an official principal payoff letter. A Payoff Request Form is an essential document for those looking to fulfill the remaining balance on a home equity line of credit. Pursuant to our telephone conversation on.