How Do I Get a Payoff Letter for an MCA?
Ask the funder in writing for a payoff letter. It should show the exact amount to pay, the date it's good through, any discount, and where to send the money. Once the payoff clears, ask for a zero-balance letter and a UCC-3 termination of the funder's lien. Keep all three. They're your proof the advance is done and the lien is gone.
What should a payoff letter show?
| Line | Why it matters |
|---|---|
| Payoff amount | The exact number, including any discount |
| Good-through date | Debits after that date change the amount |
| Wire or ACH instructions | Confirm them by phone before sending |
| Debit stop | When the daily or weekly debit ends |
How long is a payoff letter good for?
A payoff letter names a good-through date, and the amount holds only until then. Payments that clear after the letter goes out lower the figure, so ask for a fresh letter if the date passes before you send the money.
What happens after the payoff clears?
The zero-balance letter confirms nothing is owed. The UCC-3 termination clears the public filing. Under UCC § 9-513, you can demand a termination once there's no obligation left.
What should the request say?
Email the funder: “Please send a payoff letter for our advance, good through a date at least ten days out. Show the balance, any early payoff discount, the wire instructions, and confirm that you'll stop debits and file a UCC-3 termination once the payoff clears.”
Ask for the letter on the funder's letterhead, from a named person, and check the wire details by phone before you send money. Wire fraud targeting payoffs is real.
What should you ask the funder?
- What's the payoff amount through this date?
- Is any early payoff discount included?
- When does the debit stop?
- When will you file the UCC-3 termination?
Where can you check your own numbers?
The short version is in the Repayment FAQ. To check the numbers on your own advance, use the early payoff calculator.
Where do these facts come from?
Want a second look at your advance?
Call 877-FUND-654 with any question. We call you back, usually the same business day, and we always talk with you before we shop your file.