FWIW, Throwing my two nickels here (that darn inflation)...
I don't believe schools necessarily use credit reporting in admissions decisions, but typically schools may require you to provide a copy of your credit report as part of your acceptance to the school. I would venture to say this is more common with private schools. Two of the schools where I interviewed talked about submitting CRs on admission to the school (SLU and Georgetown). I think this is partly because of the cost of going to these schools per year outweighs the amount you can borrow in terms of Stafford loans, and you may have to turn to credit-based loan programs (private loans) to finance your education.
For example, Georgetown does require a copy of your CR prior to matriculation, and they look for several items, including late pays, etc. If you don't meet the credit-based criteria they set forth when you're accepted, you won't be allowed to matriculate.
From the Georgetown Information for Applicants:
All interviewed applicants assigned to the highly competitive pool must meet the following criteria:
1. No previous educational loan default unless the loan has been either paid in full or satisfactory progress has been made in repaying the loans as determined by federal regulations.
2. No bankruptcy, foreclosures, repossessions, suits filed, wages garnished, unpaid tax liens, paid judgments, or open judgments reported in the last seven years.
3. No record of a paid or unpaid collection or charged-off account or skip within the last two years.
4. No payments 90 days past due within the last five years.
5. No more than two accounts 60 or more days past due in the last two years.
6. Applicants whose credit reports include 30 and/or 60 day late payments within the last 12 months will be required to provide an explanation to the Office of Student Financial Planning, and all accounts must be in current status, prior to matriculation.
So, while they might not consider your credit during the admissions process, it still influences your ability to attend schools that have these requirements. You need to check the schools you're planning to apply for these requirements.
In cleaning up your CR - you might consider working Consumer Credit Counseling Services to help you negotiate with your creditors. If you're not familiar with CCCS, a local office should be listed in your local phone book. Bad credit may not just influence your ability to get into medical school, but your ability to get insurance, among other things. I realize that you're dedicated to pursuing medicine as a career, and that is noble, but you need to have your financial house in order before you start.
Like I said...for what it's worth....
