Debt collection agency
Debt, arrears & collectionsA company hired or assigned to recover unpaid debts.
Overview
Agencies may collect on behalf of lenders or after debt is sold.
They must follow rules for fair treatment and contact.
Why it matters
- It can signal that a debt has escalated.
- It can involve fees or added pressure.
- It may affect your credit report.
FAQs
Can a debt collection agency add fees?
It depends on the agreement and the type of debt.
Should I ignore a collection agency?
No. It is usually better to respond and seek advice.
Related terms
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