Definition

A scholarship is a gift of financial aid awarded to a student for the purpose of attending a college or university. Scholarships are granted in various amounts for several reasons.

Types

Scholarships are traditionally awarded for academic merit; however, financial aid awards can be given on the basis of need. Different foundations and charities also offer scholarships generally associated with essay-writing contests.

Qualification

Qualifying for an academic scholarship requires an above-average to excellent grade-point average. Need-based scholarships are given to those whose income levels meet the grantor's requirements. Other types of scholarships are open to restricted applicants (specific majors, schools, employers, student ethnicity or gender).

Benefits

Unlike student loans, scholarships are essentially free money for a student to use for tuition and school expenses. Scholarships do not need to be repaid.

Time Frame

Finding scholarships requires time and dedication. First, students must search for scholarship opportunities. Most scholarships require completion of an application and may additionally require transcripts, proof of income, essays or portfolios.

Considerations

Scholarships may have numerous applicants, and rejection is part of the process. There is only so much money budgeted by the grantors to give away. Students should not take rejection personally and should apply for as many scholarships as possible. Scholarships for smaller dollar amounts can add up with multiple awards.

Source:

CollegeData: Finding Scholarships

NASFAA: Steps to Win a Scholarship