Housing ReliefGetting your degree is a great goal to have, but at what expense? You don’t want to leave college with thousands of dollars in debt that can wreak havoc on your post-school budget.
And while you could work and save to fund your education, getting grants is an even better option since they’re practically free money.
The Difference Between Grants and Student Loans
This point cannot be repeated enough: Student loans and grants are not the same things! In fact, they couldn’t be any more different because you have to pay back student loans. Grants, on the other hand, leave you free and clear of debt.
Are Grants and Scholarships the Same Thing?
While grants and student loans are different, the same holds true for grants and scholarships. Like grants, you won’t have to pay back a scholarship. How they differ, however, is that grants are often awarded on a needs basis. Scholarships, meanwhile, are often distributed according to merit and sometimes need.
So, while you can get a grant due to low income, a scholarship may factor in things like your grades, extracurricular activities, etc.
How To Get College Grants
There are many ways to secure grants for college. For this quick guide, we will focus on three primary sources:
1. Federal college grants
To get federal grants for college, you should complete the Free Application for Federal Student Aid (FAFSA). Filling it out gives universities insight into whether or not you are eligible for financial aid.
Once your FAFSA is complete, you may receive financial aid award letters from colleges that have accepted you. These letters will inform you of college grants you could qualify for.
It’s urgent to act as soon as you receive these letters. College grants are limited and are awarded on a first-come, first-served basis, so you’ll want to get the ball rolling as soon as possible to get a piece of the pie.
As for the different types of federal government grants for college, here’s a sampling:
- Academic Competitiveness Grant – Given to qualifying freshmen and sophomores in college.
- Federal Pell Grants – A very popular option that is awarded based on financial need.
- Federal Supplemental Education Opportunity Grants – Awarded to undergraduate students from low-income households.
2. College Grants from your state
The Department of Education has state grant agencies that can offer funding after you’ve exhausted all of the federal resources. To find your state’s agency, go here.
3. Grants from your college
Some colleges have grants of their own. After you’ve gone through the federal and state routes, contact your college’s financial aid office to see what they have available.
Are these the only ways to find grants to fund your college education? No, but they’re an excellent place to start. The goal is to apply for as many grants as possible and do an extensive search so you can minimize your out of pocket expenses when paying for school.
