PFD or Account Deletion?

HI! A collection agency claims that they are trying to collect payment on a debt that i failed to pay another party ( the original creditor). However, I recently got a copy of my credit report and on the status details section it states that this account is schedule to continue on record until June 2012. So my question is should i try to do a pay for deletion or wait until it expires? The amount they claim i owe is about $550.00 I am trying to resolve this expeditiously and I am willing to negotiate with them.

Thank you for your advice