We have been in the position of the extreme anxiety of receiving phone call after phone call from collection companies to acquire debts.  Bad credit and overdue bills usually stems from not managing your money or your good debts right; on the other hand, sometimes debt is out of your control.   Sometimes crisis happens or unforeseen circumstances take place.

Before you do anything, you should assess what your bills are as compared to your income and miscellaneous expenses.  How much can you afford?  Most people will see that they can make a simple, consolidated payment.   

The equity that you use to pay off your loan will be tax deductible, and this is by far the best solution if you have that option.

If you have life insurance, you can take out money from their to settle your debts.

Once you see what you can afford, you can now talk to a loan specialist to acquire debt consolidation loans. They do make a profit from what they do, so do not budge on your budget.  In fact, I would cut off a little for spending money.  Also, ask about their monthly fee, and make sure that you call, at least five places.