You can always work with her separately to pay back the debt. Debtors have to put every single debt they might possibly owe, even it's with friends and family members, on their debt list so they'll be in a better position in the settlement. My sister had to put down the money from my mom and aunt, even though she had every intention of paying them back. Everyone gets the letter, no matter who they are.

On the other hand, maybe your friend is an ******* and you're out of luck. My husband is in collections so I'm sympathetic.