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.You have 30 days to respond to a debt lawsuit in California. This article provides a template for a debt settlement proposal letter and explains what a debt settlement letter should contain. Of the Court day preceding the hearing. Not sure about how to counter your creditor's debt settlement offer? Download this free Debt Settlement Offer Letter sample. 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. The County shall make reasonable efforts to offer out of class assignments to all interested employees on a voluntary basis.