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 Texas. This article provides a template for a debt settlement proposal letter and explains what a debt settlement letter should contain.For instance, in a debt claim case, the. 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. How to use this sample letter: 1. Read the background below. 2. Customer: Sample letter refusing to accept the proposed Settlement Agreement between the Landlord and Myself.