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. Creating a payoff letter is essential to any loan or mortgage repayment process. Our free templates and this guide can help you get started. Use a standard business letter format with your name, contact information, and the date at the top. "Payoff amount" is generally higher than the remaining balance on the home. How long after I pay off my auto loan will I receive my title? If you don't know who your Servicer is, call 888.469.