A debt collection agency by the name of Asset Recovery Associates contacted me in regards to a credit card I had in which last payment was made in 2005, so they say. They threatened legal action against me stating liens on my new car, bank accounts, credit cards etc. I got scared and asked for more info. They stated I owed over {$6000.00} but would settle for a little over {$3000.00}. I said i remember having a credit card when I was younger but had a limit of {$1500.00}. The man from the collection agency then said he would settle at {$1500.00}. I thought that would be better so I made a smaller payment of {$150.00} to them and they want the rest by XXXX XXXX. I 've been reading about debt collection and my rights and I now believe I was stupid to make a payment since they could n't sue me due to statute of limitations. They threatened to sue me to get me to pay and I believe this to be illegal.