Who knows about credit card debt court hearings?

No, they can't. Credit cards are unsecured loans. They are limited to garnishing your wages or bank accounts. The car is not collateral for the credit card debt and can't be seized.

Most likely they will just force you to set up a payment arrangement. If you do not follow the terms of this arrangement they can probably dock your paycheck (if you have one) and your tax return (if you get one), but they can't come after your vehicle or student loan money.

Discover cannot take your vehicle unless you put it up as collateral.

Edit:

To answer your update, no they cannot take your school money either. Discover cannot take anything from you unless you put it up as collateral. They CAN send your account to collections and harm your credit rating for years to come, so you better try to work it out with them.

Here's the problem - they cannot take your school loan money. But, if you get a check for school and deposit it first into your personal checking account, it is no longer school loan money but a personal asset, and they can take personal assets such as bank accounts. The only way to protect your money is to have it made out directly to the school for tuition.