Where do I start

First of all u need to send a debt validation letter just to make sure they do own the debt... And i would think if u send them the $3,500 next month and continue to send them monthly payments that more than likely they will accept ur payments. If not, and they DO indeed sue u at least u have proof to the judge that u were trying to make payments to this CA. I've never heard of a CA turning down a payment! (of course i guess there's always a first but some how doubt it)
Good Luck,
Ang

Also forgot to mention in above post that they cannot just garnish ur wages, they have to sue u, take u to court and have a judge order garnishment! And as i said in above post it wud look good if u were already making payments to them beforehand. But make sure u send the DV letter return reciept. This is just to be positive they do own it.
Ang

Ang is right. They violated the law by simplt saying "we're going to garnish your wages" without a judgment. Check your state law. You might live in a state which doesn't permit wage garnishment. Indeed if your wages can be garnished, the percentage is set by the court and is usually quite small.

Since they mentioned court fee's added onto the account along with garnishment I bet they will be able to skip by on that violation.

If you were able to send the 3500 it would be posted to your account as Ang said. They still can take you to court as long as it falls within the SoL.

I don't read every post or thread on this forum but I don't recall seeing one about this collection agency. So either they have a fair reputation or they just haven't messed with anyone who has found this site. Chances are they are a good company who follows the fdcpa and until they prove otherwise then you should consider what they said seriously because it is a violation to say they will do something then not follow through with it.

possibly so, but there have been cases where the wording used, even if there is a hint of "court" mentioned, if they state it as if it is a certainty, they have violated the law because the court determines that, not the CA. I wouldnt want to stake my life on it, but it has happened before. And it is quite easy to argue in court that they knowingly stated this as fact to scare the person into paying--the average person is not educated on the law as well as a CA is supposed to be.