IDT Carmel

If IDT Carmel is harassing you for collection then send them a DV letter through CRRR.

I would say that there is a major problem here on their part. Send them a debt validation letter as phoenix suggested (you can find a good template via my signature link)

IDT Carmel does not collect on behalf of US Bank. They do own debt purchased from US Bank.

THESE PEOPLE ARE CRAZY! I PAID A DEBT THAT WAS OWED TO GUARANTY BANK WHO WERE THE ORIGINAL CREDITORS. THE DEBT WAS SOLD TO PEOPLE FIRST RECOVERIES WHO CHANGED THEIR NAME OR MERGED WITH "IDT CARMEL, INC. THEN, IDT CARMEL SOLD THE DEBT TO OXFORD MANAGEMENT COLLECTION AGENCY...??ANYWAY, THE BANK WILL NOT ACCEPT THE PAID IN FULL OR SETTLEMENT LETTER THAT THE DEBT WAS PAID BECAUSE IT DID NOT STATE THAT GUARANTY BANK WAS THE ORIGINAL CREDITOR. WHEN I CALLED TO ASK IF OXFORD COULD CORRECT THE LETTER TO STATE THAT GUARANTY BANK WAS THE ORIGINAL CREDITOR THEY SAID THEY COULD NOT DO THAT BECAUSE THE DEBT WAS PURCHASED BY IDT CARMEL INC, WHO IN TURN SOLD IT TO THEM (OXFORD)...IN THE END, THE CONSUMER(ME) IS SCREWED BIG TIME DUE TO ALL OF THE "RED TAPE"...CAN ANYONE TELL ME WHAT I CAN DO?

You need to tell people's first recovery that if they need copy of who the original debt was sold to then they need to contact whoever their account (your Guaranty bank) was bought from. They can call IDT Carmel, and you can provide them with a copy of a check (with the routing and account numbers blacked out) to them to prove that you paid that amount to. Then they should be able to put 2 and 2 together, and figure it out. They just play hardball, and they will try to get whatever out of you as possible. If they are THAT concerned about the debt, and they have the effort to harass you then they need to focus those efforts elsewhere and figure it out. YOU give them the copy of the check, THEY call their client (likely IDT Carmel) and they figure it out. Also, I would demand that you get a new settlement letter stating the original Creditor or the original account number on the sif letter and then take that sif (settled in full) letter and make 3 copies of it and send it to the 3 credit reporting agencies, Equifax, Experian, and Transunion, so that they have the proof that they need to start fixing your credit. They have 30 days from the time they receive this information to report it on your credit bureau report.
Then if People's First keeps on harassing you, tell them to shove it (but before that make sure to get their physical address) and then send a CEASE AND DESIST letter, and then once they get that on file, it against the law for them to call you again, and can report them or even sue (if you really wanna put in a big effort) for not following FDCPA (Fair Debt Collection Practices Act).

Good Luck to you