I have a question regarding counselling services that cut your debt by like 75%, i heard that these places are as bad for your credit just like bankruptcy, is this true?

Just to add to my last post.  It took me 4yrs to pay off the debt I had, and it will take two more years for my credit rating to be cleared, and even though my credit report shows the debts have a zero balance, it still shows up as R7 for each debt and it states in the report I was in debt management. I can't even get a secured credit card.   Even when I was in the program I had collection agaencies calling threatening court action, and that was for creditors who had already AGREED to the repayment plan.  I will say the councilors put an end to that quickly, but you still have the stress of dealing with the phone calls.  And all the debt management plans do is get the creditors to agree to accepting lower or no interest, something as stated in another post you can do yourself. 

With regards to student loans, my councillor told me to let them take me to court, that way the loans are out of the governments hands and is the best hope of getting an affordable payment (from a judge).  Don't know how true this is, but will find out someday I am sure.