Legal Advice on owing money to the collecters?

My roommate needs legal advice I don’t know how to help her, she owes a check cashing store 299. dollars which went to collections and they called saying it went to some Fraud depart and there going to open a case, does that mean she going to get a warrant or arrested or just a bad credit report to the credit bureau, how can I help her? What actions do we need to take?

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