Estoppel Letter is provided to inform you about this document in question and assist you in its preparation. An estoppel letter is to determine payoff amounts at a closing or sale of a property. Both private and public lenders provide these as a matter of course. These can also be used for corporate banking situations when acquirers and/or lenders take out old loans.If you are in a such lending situation, this document formalizes the process and will assist the escrow agent, attorneys, or whomever else is handling the transaction to handle it appropriately and deliver you your funds.
1. Make multiple copies. Give a copy to each related party. Keep one with the transaction file.