With a Debt Management Plan, you are working with creditors to bring your accounts current, lower your interest rates and eliminate fees. In doing so, the goal is to eliminate credit card debt faster than you would have been able to otherwise by paying more towards principal.
With Bankruptcy, whether it is a Chapter 7or Chapter 13, you are essentially liquidating or reorganizing assets in order to pay off some debts and absolve yourself of any other possible debts. Since 2005 federal bankruptcy guidelines have changed significantly.
There are many secured options to consolidate & pay off your debt. The most common options are refinancing your house, getting a second mortgage or using a home equity line of credit. All of these options involve collateralizing a current asset you own.