This article provides a template for a debt settlement proposal letter and explains what a debt settlement letter should contain. 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. Download this free sample of the debt settlement agreement template and know how to confirm the verbal debt settlement agreement in writing. Our debt settlement agreement template helps to clearly outline repayment terms to reach a mutually agreeable solution. Download Nevada Debt Validation Letter template, modify and send for signing using BoloForms Signature. LTC shall issue to Arch Hill Capital and Arch Hill Capital shall acquire from LTC the Shares in full and complete settlement of the Debt. To make a debt settlement agreement, you should identify your debt owner, negotiate a settlement, and formalize the agreement in writing with all details. A debt settlement letter is all you need to negotiate debts with your creditors. It asks you to pay a certain settlement amount to the collection agency.