The first step is to figure out how much you owe. Next, consider your monthly income. Figure out whether you can realistically expect to pay off your debt by cutting expenses and practicing a better payment strategy, or if other action is necessary.

Exceed minimum payments
Make sure your payment strategy is helping to get you out of debt. With credit cards, try to pay more than the minimum payment. By just paying the minimum, you'll find yourself treading water. If you have multiple credit card debts, pay off the card with the highest interest rate -- not the highest dollar amount -- first and make minimum payments on all of your other cards. If possible, consolidate your credit card debt. Take advantage of introductory rates, but be sure to read the fine print -- many introductory "teaser rates" apply for only a few months.

Contact your creditors. Many will work with you; they'd rather not hire a collection agency. You may be able to get a lower interest rate or a lower minimum payment.

Use your savings or investments. If you have savings or investments that you've been putting aside for a "rainy day," use them. Decide on the minimum emergency savings you can live with. No savings account and very few investments can make up for credit card rates. By keeping your savings or investments, you're losing money.

Talk to a credit counselor. Nonprofit credit counseling services can help. The National Foundation for Consumer Credit is a network of about 1,500 nonprofit community organizations, most of which are called Consumer Credit Counseling Services. These counselors require you to pay them an agreed-upon amount each month, which they then distribute to your creditors. Note that such counselors are primarily funded by creditors and that they will not normally recommend bankruptcy, regardless of your situation.

Get a home equity loan. Also known as a second mortgage, a home equity loan enables you to borrow against the equity of your home. Home equity loans typically have low rates, and the interest is generally tax-deductible. But beware, not paying a home equity loan puts your home at risk.

Borrow from your 401(k) plan. Check with your employer to see if you can borrow against money accumulated by your 401(k) plan. Interest rates are usually lower than credit card rates. Be sure to review the policy to see if there are any consequences if you leave your company before the loan is repaid.

Consider bankruptcy. Bankruptcy is a major and long-lasting negative mark on any credit report, but it's the best option for many consumers who are overwhelmed by debt. Many books can help you learn about bankruptcy and decide whether you should contact a lawyer.