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The storage limit is indeed exactly that, storage. You can reduce your current storage by deleting submissions that have files attached. There is no bandwidth/upload limits for the form, only a limit of files stored in your account.
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Thanks for the answer; that's great! Do I understand you correctly in that I would have to delete entire submissions to gain back the space (thus losing the form data along with the files)?
Also, this is a new topic, but I was having trouble navigating to this "Your Answer" box in Chrome (tried on Mac and PC). I couldn't click the mouse in it, although I could tab to it. It works fine in Safari. Are there issues with Chrome capability? Is there another thread on this?
Yes, you need to delete the submission the file was uploaded with in order to delete the file. The files cannot be removed without removing the submission they are attached to. I would recommend backing up your data prior to do so.
As far as I can tell, the "Your Answer" button should be working in Chrome. It is accessible and clickable on my end. Not sure what the issue may be there. Usually Chrome works beautifully.