Not necessarily. Consolidating your bills can mean a number of things. For example, if your home telephone service also offers high speed Internet service, then you can sign up for both services and you are basically billed for both services on one bill. In this case you may be saving money. However, if you need to consolidate your bills in relation to credit cards or other outstanding loans, consolidating your bills will simply reduce the various interest rates you are paying into one, hopefully lower, interest rate with one loan or credit card. But, while simple consolidation will not necessarily reduce your debts, there are programs like debt settlement that will work to literally negotiate down the principal balances owed on your debts. An alternative program, like credit counseling, can lower fees and interest but not principal. You can compare both solutions at: Debt Options Comparison.