> ## Documentation Index
> Fetch the complete documentation index at: https://docs.pylon.mortgage/llms.txt
> Use this file to discover all available pages before exploring further.

# Revolving Account Payoff Demand

> Provide a payoff or current statement for a revolving account being paid off at or before closing to confirm balance removal.

## What this task is

This task collects a **payoff or current statement** for a **revolving credit account** (such as a credit card or line of credit) that will be **paid off in connection with the new loan**.
The statement should show:

* The **current outstanding balance**, and
* Any **payoff amount or instructions** if a specific payoff is required.

## When this task is required

This task is required when:

* A revolving liability is indicated as being **paid off at or before closing**, and
* The underwriter plans to **remove the payment** from the borrower’s ongoing obligations after proof of payoff.

Examples include:

* Paying off a **credit card** to reduce total revolving utilization.
* Closing or paying off a **home equity line of credit** when required by guidelines.

## Why this task is required

Lenders need to:

* Confirm the **exact balance** that must be paid to bring the account to **zero**, and
* Document the **removal of that liability** from the borrower’s ongoing obligations.

The payoff or current statement:

* Helps the closing team **fund the correct payoff amount** (if paid at closing).
* Provides evidence for underwriters and auditors that the **revolving debt was properly addressed**.
* Supports accurate calculation of **post-closing [DTI](/entity-models/key-concepts/dti) and credit utilization**.

Without this documentation, the lender may be required to **keep the full payment in [DTI](/entity-models/key-concepts/dti) calculations**, even if the borrower intends to pay off the debt.

## Documents needed to resolve this task

To satisfy this task, provide:

* A **recent statement** for the revolving account that:
  * Identifies the **account holder(s)** and **account number**, and
  * Shows the **current balance** and, if available, any **payoff or closing instructions**.
* If a formal **payoff letter** is issued for the revolving account, provide that document as well, especially when the payoff is being processed through **closing funds**.

These materials enable the underwriter and closing team to **fully remove the revolving debt** from the borrower's obligation profile once it is paid.