MyCashNow.com AACA Collections Payday loan sent to their collections, alerted now as RIP OFF Internet

I defaulted on a $300.00 payday loan last June.  The company MyCashNow.com sent my account to a collections agency AACA Collections and they got ahold of me yesterday 1/17/12 and was very biligerent and abusive in nature, would not let me ask questions would only talk louder and tell me that they are going to have me arrested and charges filed for fraud, etc if I didnt give them $10,000 to pay for this debt.  They said I had until today 1/18/12 to pay for it and if I didnt they "wished me luck as to what would happen next."  I felt threatened.  What extortion!  I talked to our police department and filed a complaint, filed a complaint with the States Attorney General, and filed a complaint with ICW3.gov.  They called my employer and threatened them with a lawsuit if they didnt get me to pay.  They asked for my bank account information and credit card information. When I asked them for THEIR address, they said they ONLY correspond by email-which is funny because I have already reported to Yahoo that my account has been compromised and I cannot get into it as my personal information has been changed.  That yahoo had all of my folders that contained my payroll information, tax returns, social security numbers, etc.  I am thinking that they also scammed on this email account. I was told this is a LLC company and more often than not resides just outside of the US but they have US phone numbers for their scam.  They sounded like they were from India, I couldnt hardly understand them.