These are very difficult times and people are put in the worst situations.  What can happen is that the creditors can take a judgement against you and then collect as the law in your state allows.  This is generally garnishment of wages, liens on homes and levys on bank accounts.  Is it posible for you to go to a reputable debt settlement agency (check with the state attorney general to see if they have at least a "bad" list) or speak with an attorney about other alternatives.  Good luck.