Only you can make the decision as to whether bankruptcy is the right course of action. Your trustee will make an assessment of your finances and give you an opinion on which option makes the most sense, financially.
Some people see bankruptcy purely in practical terms and worry about their credit rating; others may struggle emotionally with the idea, especially if it does not fit their values system.
The purpose of bankruptcy is (after non-exempt assets have been distributed to your creditors) to give you a fresh start. As for your credit rating, it’s already in bad shape if your finances have reached the point where you are seriously looking at bankruptcy. Your credit rating may actually improve following bankruptcy (see After Bankruptcy: Rebuilding Your Credit), providing you change your money habits.
