Told to have a hysterectomy, hearing stories about unnecessary surgery, loss of sex drive, etc?

Get another opinion. For many women who do need to have surgery, it is reassuring to have a second opinion from another doctor confirming that surgery is warranted and indicated and will be beneficial to you.
It depends. First, if you need a hysterectomy, you probably have pain, bleeding, a large uterus or your uterus is falling out. If you have these, you would probably be happy with a hysterectomy. The real question revolves around your ovaries. Depending on your age, the ovaries may or may not be removed. They provide hormones and keeping them will not affect your sex drive. If removed, hormones protect this.