College education remains a costly proposition and most students find it hard to meet the needs of it on their own. With passage of time, graduating from a decent college is constantly costing higher and higher – almost around $30,000 a year. Even education in public college costs anywhere in the range of $20,000 – surely a pricey figure. So much so, the dependence on grants and loans for education has come to stay. Grants are better of the two alternatives as availing students need not repay the amount. Loans must be repaid with interest too!
With college education being as costly as it is nowadays, it is a nightmare for students who fail to procure scholarship for their education in college. They feel the earth slipping away from under their feet, justifiably so. Since the financial aid system is a complex and a little perplexing one for the students, it is but natural to feel so jittery about the way forward. However, not able to bag a scholarship is not the end of the road. There are several ways to fund collegiate education despite the support of scholarships. A little in-depth analysis and a thoughtful approach will unravel most of the avenues available in such a scenario.
Even as Grants and Scholarships are different, one commonality between the two is that both are non-repayable “gift money”. Except for this similarity, both are distinctly different, and students have different parameters to fulfill to be eligible for them. Since it has become common to use them interchangeably or as synonyms, there are some important differences. Let us take a bird-eye view of these two forms of college education funding.
Every year the U.S. Government funds colleges and universities which are expended by them to cover educational programs and allied costs. These grants from the government are dispersed to fund the collegiate education of the students. Apart from these, there are grants from State governments, corporations and private entities which go directly to the students. However, the U.S. Federal Government which finances the educational expenses of the students is the largest grant giver.