Big regret of buying a phone from PayJoy

I purchased a phone from Mamello's Payjoy (located within the Foschini store) in September 2023. I found out the phone had software problems after three days. To report the issue, I gave the contact center a call. I've chosen not to keep the phone anymore because the guy who helped me was very impolite. I returned the phone to Payjoy, which is located inside the Foschini store in Sandton City, the following day. I received my money back.

To my surprise, I received an SMS in November telling me I had to pay for the phone to avoid being handed over.

I asked the Manager to resolve the matter when I called Payjoy. He stated that since I returned the phone and received my money back, I have no relation with Payjoy, even though he admitted that Foschini had given me my money back as it displays on the system, I still received an email from a collections department today for the second time, informing me that I need to urgently make a payment.