This article provides a template for a debt settlement proposal letter and explains what a debt settlement letter should contain. A good debt settlement letter should be concise, thorough, and convincing enough to get a creditor to agree to your terms.We'll walk you through how to put together a debt settlement letter that gets to the point and shows your creditors you're serious about sorting things out. A debt settlement letter is a tool to negotiate with your creditors and settle your debt at a lump sum payment you're comfortable making. The letter addresses why you are unable to pay the debt, how much you're willing to pay now, and what you would like from the creditors in return. Your debt settlement proposal letter must be formal and clearly state your intentions and what you expect from your creditors. What to include in the Harris demand letter? Send simple payment settlement letter sample via email, link, or fax. You can also download it, export it or print it out. The following forms are available for downloading, printing and completing.