The collection is done through different ways and the creditor knows how to deal with the clients and not every account is supposed to handle by the collection agencies because it may impact on the future terms with that client. So after analysing the important account, some of the accounts which are not fair with you, are handed over to the repo agents. Moreover before starting all that, first a gentle reminder is sent to the debtors if they did not get any response than it leads to the proper way to deal with them. 

Collectors are aware of the business situation so they deal in a very professional way with the debtors to keep their value high. They start working with the verification of the debt when it is confirmed they start negotiation with the debtors furthermore letter of demand is issued to them as proof and to follow the professional and legal way of dealing. Moreover, after the final letter of demand or with the phone call it gives a clear hint about the next and proper legal action afterwards to recover the debt with the consent of the creditor. These types of services like sending a proper letter of demand to the debtor is also done by the online services which generate the letter for a little fee and send it to the concerned person.

Other than that, if the creditor does not want to get involved in the overall matter, they just handed over the accounts to the collectors in return of some portion of that balance; it is called the debt selling from the point of view of the creditor.

However, creditors with some sure amount of recovery each year, usually hire these agencies in some fixed rate to ensure the collection of debt. Such as these collection agencies are contacted only when the issue is not resolved by the personal efforts to the collection agents are responsible to deal with those accounts.

In Australia, there are many debt collection agencies Melbourne who are working for the creditors but while hiring one you have to make it sure that they are accredited and expert to do these task moreover many fake agencies are also trapping people so it is essential to make sure you are dealing with right people. Coastal Mercantile are working from years in this field and they have a list of satisfied customer with whom they worked with, so when you feel the need just contact and get some insight about their services, it will definitely help you decide what to do next.