A debt collection agency is a company that collects debts on behalf of creditors. Creditors may sell their debts to debt collection agencies for a fraction of the amount owed, or they may hire debt collection agencies to collect the debts on a contingency basis, meaning that the debt collection agency only gets paid if it successfully collects the debt.
Debt collection agencies use a variety of methods to collect debts, including sending letters and emails, making phone calls, and visiting debtors in person. They may also file lawsuits against debtors in an attempt to collect the debt.