Yes and no. Often, people will take out a loan or even refinance their home to include their other debt, such as school loans, as it lowers their monthly payouts or means they will be paying less in interest.
In the end, this debt swap doesn't always work out in the favor of the debtor, but it sometimes gives them a little bit of breathing room to get back on their feet.
Ultimately, even though you still owe basically the same amount of money, if you end up with better terms for your payout, then you aren't in the SAME position, but a slightly better one. Of course, not everyone ends up on top and if you have poor credit, then you might not end up with better terms, but worse.