How do I respond to this letter from Emerald MArketing?

Micheline Messenger, The difficulties experienced by the collection department at Emerald Marketing Group, LLC 080, when attempting to obtain the slightest amount ofcooperation from you have led to your account status being changedto Refusal to Pay/Intentional Neglect. Whether or not you considered it or not, borrowing money andintentionally neglecting to repay what was loaned to you is a seriousmatter and all appropriate actions will be taken to collect this balance.Through your silence and lack of cooperation, it is evident that you haveno intention of paying this loan willingly and further actions mustbe taken. The consequences for the actions that you have taken were clearlyexplained in your signed loan contract. To avoid these consequencesmake a payment by Credit Card or Money Gram by 4:00pm CST today,September 29, 2008, so that this balance can be cleared without furtherincident. Fees are being added to your balance and will not stop until a paymentfinally post to your account.

And there so called contract is bogus..msp..It's a one page contract that states nothing..if you have ever had a pdl with Emerald Marketing you will know..

So how should I handle this one??