This article provides a template for a debt settlement proposal letter and explains what a debt settlement letter should contain. Below is a sample settlement letter from the paying agency to the OAG authorizing the settlement or judgment and amount of the claim.Fill in your contact details, account number and any extra information you want to include in the grey shaded areas. Today's date will be added automatically. 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. A debt validation letter is a written communication that a consumer sends to a debt collector or creditor to request verification and validation of a debt. To settle a Texas debt lawsuit, you should respond to the case, send a settlement offer, and get the agreement in writing. This article explains the basics of the garnishment process as a method for collecting debt after a judgment has been entered. This article will explain how to handle debt settlement on your own and how to write the best debt settlement letter possible.