Fixed!!!!!!!!
My problem, where you could see the hdd with disc utility but OSX would not mount it and parallels could not use it, happened im guessing because of Mac Fuse as is a popular theory or when i upgraded from leopard to snow leopard. The bootcamp partition was effected in some way where OSX could no longer read the hard drive not a problem with parallels.
Here is the fix:
[Its always a good idea to back up your data before messing around with things like this, even though this should be relatively safe]
1. Grab your OSX disc and boot your computer while holding the 'c' key, this will boot from the cd drive. (You cant mess with the partition the operating system is on while the operating system is loaded)
2. Start up disk utility (in the menu at the top, you will have to click a back button to get to it because OSX will want to install itself again).
3. Click on your hdd and under the first aid tab, click the 'Repair Disk' button and let it do its thing, then when its done click the 'Repair Disk Permissions' button.
4. Reboot into normal OSX off your hdd and if BOOTCAMP appears as a hard drive on your desktop then your good to go! Parallels should be able to use your bootcamp partition now.
IF THAT FAILS: (this is exactly what i had to do)
1. Back up all your data.
2. Open Disk utility and delete the boot camp partition. (under the partition tab).
3. Boot off the OSX disk and with disk utility expand your operating system partition by going to the partition tab and dragging the little draggy triangle thingy until it fills up the entire box that represents your hdd's space.
4. Boot back into OSX and with the bootcamp utility install bootcamp the same way you did in the first place.
IF THAT FAILS...
Well... you have a bad hard drive, you need to reinstall OSX...
