How to create physics object with text inside it

Hi all,

I just started learning Corona.
I am trying to create a simple word game where the words can be dragged together to form sentences. Each word is contained inside rectangles.

I would like these rectangles to be draggable and when they overlap, be notified about it so I can create sentences.

I decided to use the physics engine for tracking collisions because I did not want to do object tracking on my own.

Therefore, I thought the best way to do this was using groups.
I noticed that the position of the rectangle and text are not aligned with the group.

Is there sample code out there to create rectangle objects with text object inside it?
I was having trouble using the group because the group collision callback did not seem to get called when creating a group for each (rectangle,text) pair.

I came across one post that mentioned avoiding using multiple groups for physics.

Is groups the best way to go for this? Should I use joints instead?
Are text objects even physics object?

Any help would be appreciated.
Thanks [import]uid: 67377 topic_id: 11323 reply_id: 311323[/import]