Question about Action for Money Judgment in regards to medical bills?

I was served with papers stating that plaintiff demands from me $3,245 plus costs, it says I need to complete and attach an answer and acceptance of this or a judgment will be issued against me. I know I owe this money and want to pay this but the amount they wanted each month was not possible for me and while I tried I fell behind on payments, my question is I want to enter into settlement without them entering a judgment, how do I do this, do I contact the attorney listed or the agency that is suing me?