A debt settlement letter contains a proposal offer that will hopefully open the door to negotiate a fair and reasonable debt settlement. You have 30 days to respond to a debt lawsuit in California.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. Here is a quick template for those looking to send a settlement offer to a collection agency or Pay for Delete. To make a debt settlement agreement, you should identify your debt owner, negotiate a settlement, and formalize the agreement in writing with all details. To fill out this letter, clearly write your name and address at the top. Include the date and the collection agency's name and address. THE JUDGMENT ENFORCEMENT UNIT helps workers to collect their wages after the Labor Commissioner determines that an employer owes unpaid wages. Learn how to write an effective collection dispute letter with our guide and templates.