Your debt settlement proposal letter must be formal and clearly state your intentions and what you expect from your creditors. In the letter, the first line, tell them exactly what you want.You're writing this letter because the defendant owes you money and you want payment in 10 days. Most court cases are settled. In a settlement, both parties agree to the outcome of the case and there is no trial before a judge or a jury. Use this letter to help you negotiate a full and final settlement offer with a creditor. This article provides a template for a debt settlement proposal letter and explains what a debt settlement letter should contain. Resolve your lawsuit outside of court and avoid unnecessary fees and hassle. Send a settlement letter offering to settle the dispute on your terms. Intheblanks form required for any matter originating and electronically filed in Supreme or Surrogate's Courts in Richmond County.