For a long time it felt like accepting the label would mean accepting that there was no hope for me,
That's actually a huge thing, both the concept of
difficulties in functioning being viewed as "illness"
and theories for the causes of those difficulties.
There's an academic paper somewhere looking at the differences in attitude towards, patience with and sympathy for people experiencing difficulty, by medical professionals holding differing views for the causes of mental illness (it was by Raymond Bergner and one of his research students - I'll see if I can find it and link to it).
put in very crude terms
If a professional believes that the difficulties are due to some mistaken cognitive assumptions, or damage due to abuse and bad experiences, and that helping the person to replace thiose assumptions with more functional ones will help - then they are going to be a lot more sympathetic and empathic with the person
than would be a practitioner who adheres to the "chemical imbalances" or "genetics" theories, who is more likely to take the attitude of "here's some meds, take them and piss off, you are faulty"
ok, the paper didn't actually say "Piss off" but you get the idea;)