Verizon Chargeoff reporting but CA just sent letter

[hiya1980]

I was searching for a post about if a CA can charge "collection costs" or other fees and came across a post that states:

fees are only allowed if such fees are provided for in your original agreement or otherwise provided for by law.

This is a Verizon account in which the bill went unpaid. Verizon is showing chargeoff on all 3, but just got a letter from ERS Solutions regarding settling the account for 80% of balance due. the CA lists principle balance 2033.02,

then they have collection cost stated just like that, at $385.13. They will settle at $1918.34

Are they allowed to do this?

Should I DV them and try to settle with Verizon directly?

Would I have a better chance of PFD with CA and get them to deal with Verizon?

thanks