I am writing about the money which you are claiming I owe on the above account. I can confirm that I am unable to offer to pay in full what I owe.Use this letter to help you negotiate a full and final settlement offer with a creditor. A typical personal injury demand letter is broken up into three parts – Accident Facts, Medical Facts, and Life Facts. 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. Download this free sample of the debt settlement agreement template and know how to confirm the verbal debt settlement agreement in writing. Guide and free template to craft an effective settlement demand letter.