The issue of Old College debt and Transcripts

I have a college debt that i am working to pay off. The debt was given to a collections agency. My question is if I settle for to pay for a lower amount can the college still keep my transcripts or is it better just to pay in full?

Also I put this in the transfer thread because there can be a lot of students looking to transfer who will face this.

You need to address this directly with the college in queation. What do they need from you in order to release the transcripts. Get their agreement in writing.