Pay Day Loan in Texas

I took out a loan back in 2010 with paydayone, when I had fraud on my bank closed the account. I tried logging into the site to set up payment and my account had showed closed. Last week I just received a call from a National Check recovery person wanted to serve me paperwork to appear in court. I called and they told me it was due to my check fraud and can set up payment plan to pay over $800-$900. I am in the state of Texas, can they really take me to court? The original loan was $500 and I know I made atleast one payment or possible more, but they didnt reflect that. Any advice on what I should do. I really dont have the money to set up payments for that kind of amount.