Congress passed significant changes to the bankruptcy code recently, which become effective in October. If you are considering bankruptcy, and think you might be eligible for a Chapter 7 discharge, you should consult a bankruptcy lawyer ASAP as if your case is still pending when the changes become effective you may be precluded from seeking Chapter 7 relief. It is difficult to assess whether you would be better off continuing with debt management or pursuing bankruptcy - that's something you should discuss with a bankruptcy lawyer, based upon an assessment of your financial situation and the nature of your debts.

Student loans are not ordinarily dischargeable in bankruptcy.

A big part of the question turns on your job prospects. If you are about to graduate and will be making a decent income in your job, you may find that your debt is manageable. If not, you may find that it interferes with your ability to make ends meet during the remainder of your education.