Don't sign up with a debt consolidation company!
Perfect example of a company wanting your money. They don't even realize that creditors and debt collectors will not respond 99% of the time to letters. You need to CALL to negotiate a settlement....then you have them mail/fax you a settlement agreement.
Of course you can negotiate your debts directly with creditors. There are several instances where consumers have negotiated with creditors and reduced debt amount significantly. All you need to do is use the right strategies.