Your debt settlement proposal letter must be formal and clearly state your intentions and what you expect from your creditors. This article provides a template for a debt settlement proposal letter and explains what a debt settlement letter should contain.This program will help you write a letter that formally requests the money you are owed. This is called a Demand Letter. The plaintiff will report to the. You have 30 days to respond to a debt lawsuit in California. A good debt settlement letter should be concise, thorough, and convincing enough to get a creditor to agree to your terms. Once you have the right Answer form, you'll write in it what might be not true in the Complaint and what defenses that you might raise. As full payment and satisfaction of the Present Debt. ) Case No.: 17CV320913 Plaintiff, ) :' ) vs.