Debt settlement involves negotiating with the credit card companies and various unsecured creditors to reduce the total amount of debt that you owe. It is a fairly aggressive approach to credit card debt relief, with some of the advantages being that most consumers are able to significantly lower the amount they owe their creditors. Debt settlement involves negotiating with the credit card companies and various unsecured creditors to reduce the total amount of debt that you owe. It is a fairly aggressive approach to credit card debt relief, with some of the advantages being that most consumers are able to significantly lower the amount they owe their creditors.