@RolenOakenbow , I was in a similar position long before you were born. Long story short, I enrolled in Aerospace Engineering when I really wanted to be in a Liberal Arts major. My grades slumped in my engineering classes and soared in my electives, and I overloaded my course load because I wanted to experience as many non-engineering classes as I could each semester.
My advice, go to your parents and tell them politely but directly that engineering is not for you. Politely but clearly, tell them that your grades in the engineering classes are not good and that if you are forced to remain in engineering you fear you will fail. Tell them how you have discovered that the better-performing engineering students had taken more high school classes that prepared them better than you. Politely but helpfully, tell your parents you don’t want to waste their money by flunking out of the engineering program. Then offer two or three majors you would like to transfer to.
Prior to this meeting, compile a list of jobs you are confident you can land with degrees in those three other fields. Have a list ready of notable people who do those jobs. Show your parents your future earning potential in those fields.
Tell your parents you love them and are not doing this to hurt them. Tell them you want to be in a position to earn good grades and make them proud, but that you cannot do that in engineering.
From the way you described the situation, I expect they will push back some. While maintaining your composure, reiterate your poor grades and the very real possibility of flunking out if you are forced to remain in engineering. State again that you want to make them proud by earning high grades.
You sound like a very mature young adult. I am certain you can pull this off. It will be painful. Your parents will be hurt and disappointed by your revelations, and maybe a little angry. However, they will be even more hurt, more disappointed, and angrier, if you go through another semester or year and end up on academic probation. The time for this discussion is now.
Prior to the meeting, have a list of alternate universities you might transfer to. Maybe if you go to a less-expensive school, your parents might agree to the switch in major. Worst case scenario, you can transfer to a school that is so affordable (probably a public university in your home state) that you can afford without their financial aid. Don’t mention these alternative universities unless your parents lead the conversation in that direction. If they do lead the conversation this way, it is best for you to be prepared with options. Also, have a talk with your current university about whether or not they will allow you to change your major at this point. It will be good to know whether or not you have this option.
This is your future. Another year of poor grades is only going to make it more difficult for you at every option. It is in your best interests to talk to your parents as soon as you can do so face-to-face.
Good luck!