Well it sounds like they're making your daughter's life a living hell already.
I can't force you to go to the police. But i wish i could.
It doesn't matter what previous trouble she's been in with them.
If you inform the police of her intimidating you and your daughter, and she continues to do it after a warning - she can be charged. If When you make the initial complaint against her, warn them that you are frightened of the backlash from her and her family.
Continue to call them each and every time she does something.
Ditto the above but with the ASBO people. The police and anti social team work together.
If only you'd reported her sooner, she might have stopped all this by now or been evicted.
Stop putting yourself first. Your dd can't grow up with this woman calling her names. It'll just get worse. Bullies feed on fear.
The police will protect you if you're worried about her becoming physically abusive.