Film School (Getting my foot in the door)?

First a brief history about me:
I’m in a training program that my father got me into a few years ago that would pay for my schooling so i can become and Engineer. I decided that I didn’t care for that field after taking the basic courses in college and working with other Engineers at the office. I know that my father would really be disappointed when I drop out (which I plan to do) but I need to do it. At first my grades were pretty good (A’s and a couple B’s) but after a couple years of it I started to slack off and got B’s, C’s and a D or two.

What’s Going on Now:
I decided that since I love story telling and had a wonderful time making videos as a kid that perhaps the film business would work for me. I love creating stories (mainly fantasy dealing with Norse Mythology) so perhaps screenwriting would work. But I decided I wanted to continue school but for a different degree, something that would help get me in the business. Ultimately I’d love to write my own work and direct it but I know how far off and difficult that could be.

My Question:
I still have the record of my bad grades from school, should I stick with my trainee position for a little longer and retake those classes to raise up my grades? Or should I try enrolling in one of the Film Art Schools? I don’t think I could be accepted in one of the better schools due to me grades. Also what schools should I consider? Since I want to get into directing and screenwriting what degree should I go for? I really don’t know how or where to start. Anyone with any real knowledge of how all of this works please help me out.
There are two schools here that deal with Film, one is the Portland Art Institute and the other is the Northwest Film Center School. The NW Film Center offers one course per quarter for near $1000 a course. Portland Art Institute of a Bachelor of Fine Arts in Digital Film and Video but for the whole degree it could cost about $85,000 total. That’s quite a bit of money for me, even if I got for a student loan. I dunno what to do and really could use the help.

Only three film schools are worthwhile: USC, UCLA, and NYU. Still getting accepted to anyone of these prestigious schools doesn’t guaranteed you’ll find a job once you have your diploma. Those three universities simply give you a better chance because of all of the connections you could possible make there. That said there are thousands of film grads clearing tables of dishes in Manhattan and putting dishes on tables. With an engineering degree, you are guaranteed to make a living. Film school, even if you are extremely talented it’s tough, hyper competitive tens of thousands chasing the same dream with only a handful succeeding. I know someone who was super bright and talented, today he works in the studio setups in hollywood. Otherwise, he’s a studio carpenter. Some dream.