Consolidation is the only debt management solution which will not affect your credit rating. This is because consolidation does not involve reducing or missing any of your agreed creditor payments.
If you consolidate your debt with a single loan your smaller creditors will be paid off in full. Your accounts will not be in default and no problems will be recorded against your credit file.
Note: You will need to have a good credit rating to be able to borrow more to consolidate your debt. Before you apply for a loan you should check your credit file to understand more about the current status of your credit rating.
The only way your credit rating will be effected is if you try to reduce or miss completely your monthly payments. As such simply consolidating your debt before you have missed any payments will mean your credit rating is not affected.
If you are already struggling with debt and have missed payments to your creditors your credit rating may well already be damaged. However further problems will not be created if you pay off or settle any of your outstanding account using a consolidation loan.