This document is a debt payoff letter from a debtor to a creditor. 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. Arrange for payoff of loans. The seller should advise its bank of the projected closing date and request a pay-off letter. How to fill out the Payoff Request Letter Templates? Warrant payoff letter. 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. Additionally, please provide any available documentation detailing a loan transfer to a new lender in reference to the attached Deed of Trust.