(This is a guest post by Fay who runs a debt consolidation website at PayingPaul.com)

If you want to get out of debt, there are several options you have. Debt consolidation programs are very popular.
There are many different programs, but all serve the same basic purpose. The goal is to consolidate credit card debt so that you can pay it off as quickly as possible while saving money on interest.
Here is a look at the four main types of debt consolidation.

Credit Counseling

With credit counseling, you sign up for a debt management plan.
A credit counselor evaluates your income and debt and determines one monthly payment that you can afford. You send that payment to the credit counseling company.
Then, they distribute it to your creditors. The creditors agree to the program, often eliminating some fees. These are long term programs that usually involve paying the full amount of debt.
Credit counseling services also provide you with credit education.

Debt Settlement

Debt settlement involves negotiating with creditors to reach a sum that everyone agrees will settle the account.
Credit card companies are usually happy to settle because it guarantees them some money without having to worry about legal matters. Debt settlement is also beneficial to consumers because they are able to save money on their debt. However, debt settlement can have a severe impact on your credit rating.

Unsecured Loans

Another option is to take an unsecured personal loan to pay off your debt.
This is popular because the interest rates for the unsecured loan are always better than the interest you are paying on your credit card debt. You also aren’t risking any collateral, such as your home or car.
However, unsecured loans usually have stringent credit requirements.

Secured Loans

Secured loans are great options for homeowners. With a secured loan, you are using collateral to obtain a loan to consolidate your debt.
The most common form is your house. This can be done through taking a home equity loan. Essentially, this is a second mortgage. You can also refinance your mortgage, giving you a lump sum of cash that you can put toward your debt.
Because you are using collateral, credit requirements aren’t as tough and you will get good interest rates. On the downside, you are putting your home at risk.