She has just proven she is a con artist and criminal. Even if you owe a debt, that is a civil and not criminal matter. Threatening arrest is a violation of Federal law (FDCPA). Report to the FTC and your state Attorney General. Chances are these slime aren't even licensed to collect debts in your state.
I keep getting called from this number and this time they threatened felony charges against me - they said I took out a payday loan. I have been overseas working for 15 years... was not even in the country.... they have lied told me my ex - husband -- james said it was me... well I have never been married to a james and have not used the name of the person they are looking for for 10 years....