Learn how to write an effective collection dispute letter with our guide and templates. This article provides a template for a debt settlement proposal letter and explains what a debt settlement letter should contain.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. I am writing in regards to the above-referenced debt to inform you that I am disputing this debt. Want to settle your debt? This article will make the process of responding to a debt lawsuit a little bit easier and tell you how to answer a summons for debt collection in Florida. Here is a quick template for those looking to send a settlement offer to a collection agency or Pay for Delete.