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In this article, a hybrid Haar wavelet collocation method (HWCM) is proposed for the ill-posed inverse problem with unknown source control parameters. Applying numerical techniques to such problems is a challenging task due to the presence of nonlinear terms, unknown control parameter sources along the solution inside the given region. To find the numerical solution, derivatives are discretized adopting implicit finite-difference scheme and Haar wavelets. The computational stability and theoretical rate of convergence of the proposed HWCM are discussed in detail. Two numerical experiments are incorporated to show the well-condition behavior of the matrix obtained from HWCM and hence not required to supplement some regularization procedures. Moreover, the numerical solutions of the considered experiments illustrate the reliability, suitability, and correctness of HWCM.