I don't understand this perspective. Debt isn't just something we made up to punish the little guy. I like being able to borrow money and go into debt if I wanted to. It's not something I want to have to do, but it's an option I want to have available to me. Creditors would find it harder to get paid back without debt collectors, and so would be less willing to lend in their absence. Therefore, debt collectors directly benefit all creditors, especially ones with less collateral, by lowering their interest rates.