Final answer:
A collection agency or debt collection agency acts as a third party to collect unpaid debts for creditors.
Step-by-step explanation:
The organization that acts as a third party to collect unpaid debts is called a collection agency or a debt collection agency. These agencies are hired by creditors to pursue the collection of debts from individuals or businesses who have failed to make their payments.
Collection agencies use various methods to recover the unpaid debts, such as making phone calls, sending letters, or even taking legal action if necessary. They charge a fee or a percentage of the debt amount as compensation for their services.