First some background information: I am a current college student. I have never had a job to earn income (any money I obtain is either from financial aid through loans/scholarships or some support from parents). I had a big medical condition a couple of years ago in college in which I racked up a whole lot of medical debt, greater than $ 15,000, which all went to collection. I don’t have any way of paying those balances off at the moment as I am completely focused on my studies right now. I have tried to apply for student credit cards, but I get denied every time. The times that I applied I used my financial aid money as the source of income along with the extra that my parents gave me.
I have a couple of questions regarding my credit score.
1. How much impact do hospital bills in collection have regarding my credit score? I have read in some places that they do not impact as hard as other items, but I am not sure.
2. How can I start to build my credit (or repair if the hospital bills damaged it) if I can’t even get approved for a student credit card?
Any help would be much appreciated, thanks!