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I'm no expert on this, but I think the problem is you paid the original owner and not the collections agency.
The way I understand it collection agency's pay cents on the dollar for the debt that is owed, then the collection agency tries to collect whatever they can get.
So in other words if you owed $200, the collection agency might have paid your old landlord $40 to take that debt. Now it is the collections agency's problem, NOT your landlords. Had you paid the collections agency, you would have no problems.
I don't know how you solve this problem, but at least I think that should help explain what the problem is for you.
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