In this economic environment banks will not generally loan money unless you have collateral. Here is an answer I gave recently to someone else in a similar debt situation but she had a home loan instead of a student loan plus credit card bills. Sorry I do not have a better answer for you.

Having said that, let’s focus on debt management…

Typically, if you enter a debt management program, it will be noted on your credit report that you have done so to let creditors know you needed help managing your bills. While this is better than doing nothing and falling behind on your payments, it still may reduce your score somewhat. Debt management companies work very closely with credit card companies to assist people who might be at risk of not paying their bills.

The drawbacks to debt management is the length of time they typically need to get you out of debt, usually 5-7 years. Your credit score will be “marked” for that period of time so that is something to consider. You also want to be sure you find a good debt management program because some people argue that some debt management companies are often late in making the payments to their client’s creditors resulting in doing their clients more harm than good.