In the real world, a Chapter 7 is only justified when debts are over 350k and you have little in assets. A Federal Bankruptcy court will likely not allow you a Chapter 7, they will convert it to Chapter 13. You are NOT going to walk away free and clear.
BK is a big step and many times it is not even necessary. I would be in no hurry if I was you. Wait until you are sued, they get a judgment and then want to execute the judgment. Check your state law and see what your exemptions are. Here in FL you keep your house regardless of equity. If you have no Homestead then you get $4K of property exempted, plus $1K statutory. You also get $1K for a vehicle.
So, then they are looking at going after what is over 6k. Unless you have something they can identify of particular value, they are not going to bother with household goods.
If anyone threatens you just tell them you are both out of work, all your assets are below the statutory exemptions, and if they want to waste their time and money, bring it on. Otherwise, you will be happy to start paying again when you have some income.
Now, a trick few people mention is the advantage of having a big judgment against you which they make no effort to collect on, or perhaps they called you to a debtor examination once and discovered it was not worth the trouble. So, then if someone gets a judgment against you later on and they want to execute on it, just inform them of the other judgment and the legal fact that the new creditor has to notify the previous judgment holder they are going to execute. Then if there is anything, the original judgment holder gets it, up to the amount of their judgment. The one who did the work and expense gets nothing. Translation, they will not do anything and will go away.
A bankruptcy attorney makes money doing bankruptcy. Not really the best person to give you alternatives. There is lots of online info on how to handle creditors.

