Credit debt consolidation occurs when someone takes all their loans and combines them into one loan. This is convenient because often times a fixed interest rate at a lower price is established. Sometimes if your debt is too much, the debt consolidator, who is the person helping you with this problem, will buy the loan at a discount so that the person with all the debt does not go bankrupt. Most of the time people that go into debt do it through credit cards, because they carry a high interest rate with them every time that you end up using them. The bad thing about credit debt consolidation is that sometimes someone may back you up into a hole because they charge you more than you might possibly ever be able to pay off.