Below, we've created an example of a debt settlement proposal letter that you can use as a guide. Your letter can be sent via your preferred contact method.This article provides a template for a debt settlement proposal letter and explains what a debt settlement letter should contain. Use this letter to help you negotiate a full and final settlement offer with a creditor. Not sure about how to counter your creditor's debt settlement offer? Download this free Debt Settlement Offer Letter sample. Here is a quick template for those looking to send a settlement offer to a collection agency or Pay for Delete. Our debt settlement agreement template helps to clearly outline repayment terms to reach a mutually agreeable solution. I am now experiencing financial hardship due reduced income. It only takes 15 minutes to fill out the form, which will include your responses to each allegation from the Complaint and affirmative defenses.