Palma Law Office debt problem

I am trying to help my wife with a past debt of hers. She and her ex leased a truck in 1999 but missed some payments so it was repossessed and sold to pay off the lease. This was in ND. Since then she has not heard anything from any collection companies. Now we live in FL for the past 5 years and they have finally tried to collect. We have live at the same address and worked at the same jobs since we have lived here.

Now all of a sudden my wife told me her bank account was frozen. When the bank told her that money was garnished and why and who did it, she contacted the Palma Law office that did this and they told her she owes $2100. They garnished $85 plus a $100 bank fee which cleaned out her account. Palma Law said they sent her a letter but she never received it. They didn't seem to care and told her very rudely that she needed to pay or they would continue to garnish her account. Then they started asking for names of her relatives for references. She didn't give up that information.

The next day I went to the bank to see if they could help. They told me there is nothing they can do and suggested getting a lawyer, so we did. They lawyer so far has charged us $950 and has only told us to negotiate which we tried. We offered $700 but they refused. My wife and I do not feel that she owes anything because she was told this debt was cleared when the truck was sold. We also do not think she owes anything because the judgment was not given to her, and they have not proven the amount owed other that what they finally showed her on the judgment papers, and her account was garnished without her knowing. My wife has only agreed to settle on a small amount because our attorney said to do this and said it would cost too much to try to fight it.

Is there anything that we can do without an attorney? Is any of this legal with the way the Palma Law Office has handled this?

Please help,
Scott