Hello Ghost,
I hope you are well.
Not sure if I can be of help, but the only thing I can see here from the above screen shots is that “sphere1” is not the Default Scene Root.
I could be wrong, but I believe the script runs from the root scene, so if your collision is not set as the root, it will act as if collision isn’t their.
I know when I have created projectiles in my project, I have always set the collision bounds as root, and I have not experienced this problem.
Hope this helps resolve your problem.
Regards,
FD.