Use this letter to help you negotiate a full and final settlement offer with your lender. List your name, account information, the original creditor of the debt, and the debt collection agencies identifying information.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. A demand letter is an official notice requesting money, possession of assets, or action on a legal matter. This form is furnished to give you a statement of actual settlement costs. How to use this sample letter: 1. Read the background below. 2. Use this letter to help you negotiate a full and final settlement offer with a creditor.