How can I manage my credit debts on my low income!?

I am 22. I recently had surgery at a hospital and now I owe $3000 on bills that have all gone to collection agencies. Right now I have a credit score of 730. I spoke on the phone with the collection agency about payments and they told me that I could continue making my $20 payments but that my credit score will drop because of the outstanding payments and low amount.



She suggested opening a credit card, but if I charge $3000 on a credit card... the payment minimum will probably be $103 or so anyways - so I'm no better off then just paying the collection agency.



I am a full time college student and only make about $200 a month. That is for gas and food. I don't know what to do.. I don't want to invest all my time into college just to get a great job then not be able to get a house due to bad credit. I dont know what to do to fix this problem and how to not lose credit.



Help!!!



Thank you,

David.How can I manage my credit debts on my low income!?
Simply: work more. $200 a month? Is that like 5 hours a week? I know people who work over 30 hours a week and take a full course load!!! Get a second job if your job won't give you more hours. Try to find someone to carpool with. Eat ramen and seasonal fruits and vegetables for a year.How can I manage my credit debts on my low income!?
Apply immediately for student loans. With your low income you should qualify for low-interest Government loans like the Stafford Loan. Fill out the FAFSA form and see if you qualify.



Use the loan money to pay off the medical bills. You don't have to pay the loans back until your graduate, and this gives you time to get a better job to pay down the loan.
Remember, even if you do lose your credit, you can get it back. I think that obviously the thing you should aim for the most is to cut back on unnecessary expenses and pay off the $3000 as soon as possible. Paying as quickly as you can handle will keep your credit score higher, and will decrease the amount of interest (and thus, total amount) you pay.



As for your worries about after college: if you have a good job and are making a lot of money, and spend responsibly, your credit score will rise, and then you can get a house. Plus, you'll already have money saved up for it.