If you are a home owner with equity in your property you may be able to avoid bankruptcy proceedings by refinancing your home and paying out your creditors.
If you are not a home owner, you may be able to consolidate your existing unsecured debts into a single personal loan with a lower rate and lower monthly repayments. To qualify for an unsecured personal loan however, clean credit is required. Borrowers whose credit history is impaired may be able to qualify for a secured personal loan by offering the lender the security of their vehicle. Alternatively you may be able to reach and agreement with your creditors via an informal arrangement.
If all else fails, a formal debt agreement (Part IX or Part X under the Bankruptcy Act) may be signed with creditors to prevent bankruptcy. Whatever solution you opt for, it is best to avoid bankruptcy if at all possible.