You can never predict how a creditor will respond to defaulted debt....some might just sell the debt to a collection agency...while others might take you to court to try to get a judgment. It's impossible to tell. CapitalOne has a history of suing for small amounts in case you have one of their cards.
There are three options options: Do nothing, use CCCS file or file Chapter 7
Contact your local Red Cross for a referral to the local Consumer Credit Counseling Services (CCCS) in your area. They can negotiate much lower payments and interest rates.
They will require you to stop using all credit and to cut up your cards. Your credit report will be updated to "enrolled in debt management." This does not damage your credit, but it may make it impossible to obtain new credit while you are enrolled in their program....so don't use this service if you anticipate applying for a new apartment, car loan or mortgage anytime soon, as you would probably be denied while you're enrolled in the CCCS debt management program.... Otherwise, it can be a very good way to deal with your debt.
Please note that CCCS cannot perform miracles in situations where there is an overwhelming level of debt relative to your income/assets. Sometimes Chapter 7 bankruptcy is the only solution to overwhelming debt. Don't let anyone smear or guilt-trip you for making this decision if you have to...especially all the people who like to quote Dave Ramsey who think that BK should always be avoided....this is ridiculous advise that only benefits credit card companies...Of course BK should be avoided if at all possible...but sometimes it is needed. Do what's best for you and your family. Corporate America uses BK all the time and no one slams them.
Just remember that you can only file for Chapter 7 once every eight years....so if you file, you won't be able to discharge your debts again for eight years, even if you find yourself in a worse financial situation..
IMPORTANT: If you don't have or can't afford health insurance and you file for Chapter 7.....you absolutely must get health insurance for yourself and your dependents. Having a health emergency when you don't have health insurance and you've already file Chapter 7 would be a catastrophe.