Scholarships And Grants

Written by Seth Cotterell
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If you've been researching different college financial aid options, you may have many unanswered questions. There are so many financing options that it can be difficult to tell the difference between them. I will briefly explain the difference between two of the most similar and often confused types of financial aid.

Scholarships and Grants: Similarities and Differences

During your financial aid search, you've no doubt run across terms like scholarships, grants, loans, internships, subsidized and unsubsidized, and consolidation. Scholarships and grants are very similar and are often confused by people in the initial stages of research. They are similar in that neither scholarships nor grants need to be repaid after college.

Though they are similar, there are considerable differences too. Scholarships are usually awarded on the basis of outstanding personal achievement. Students with high grades or a lot of extra curricular activities often qualify for scholarships. Outstanding athletes also frequently receive scholarship money. Musicians, actors, and student leaders can also find additional scholarships.

Grants, on the other hand, are not awarded based on outstanding achievement. Grants are given on the basis of financial need. Students from low income families can receive grants as long as they meet some very basic requirements. The two are not mutually exclusive, however. Low income students who are driven to excel can receive both grants and scholarships.

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