What Are The Differences Between Student Loans, Grants, and Scholarships?

An Investment in Knowledge Pays the Best Interest

Paying for college can be very challenging.  There are many resources available to assist you in the various options that exist.  Currently, Grant programs offer up to $6,095 in aid for those that qualify based on many different factors.  Income and financial need are the most prevalent factors.

In today’s day and age, there are so many options for getting an education, whether it be an online degree or from a “brick and mortar” university campus.  There are programs that offer assistance.  That being said, it may take several types of student aid to be able to get what you need for college.

Grants and Scholarships are the best option because you don’t need to pay the money back.  Grants are need-based, while scholarships are usually merit-based.  The federal government offers a variety of federal grants to students.  The caveat being that the funds do not need to be repaid, unless you withdraw from school before finishing an enrollment period such as a semester.

Many times when you apply for student financial aid, you will get offered student loans as part of the package and can vary in amount depending if you are an undergraduate student, a graduated, or professional student.  This money must be paid back, but not until after you leave college. These student loans usually have a fixed interest rate that is lower than that of private loans. Federal Student loans are an investment in your future, so you should not be scared to take one, just be smart about it and know that it will need to be repaid.

All in all, many students will find that they need a combination of all forms of aid, in addition to working a part or full-time job while attending school as well.  In any event, the journey is well worth it.