We actually just finished paying off about $12,000 in medical debt and credit debt. We sort of did it Ramsey's way, but my husband and I weren't on the same page until the end of the process, lol. We called all of the creditors and asked for reduced rates. In my case they were really great about things and in two cases the creditors went from around 20% down to 9% interest as long as we scheduled automatic payments. This helped reduce payments considerably. With the medical bills, I just took them one by one and talked to them. Keeping them in the loop will help keep them out of collections. One doctor took 4,000 off of the bill so it wouldn't be a hardship to us. (I have to see him every month and he is really a good guy! If anyone needs a pain doc...) Anyways, after talking to everyone we found that we no longer needed a loan. From there we paid a certain amount to each one and when one got paid off the amount that was paid to them got moved to the next bill.
Good luck. And Keep the Faith, things will work out!