What is the difference between merit-based aid and need-based aid?

Merit-based aid consists of scholarships that are awarded to students for specific talents or accomplishments: academic, service-oriented, or otherwise. They are awarded without regard to a family's ability to pay for college. More.

Merit-based aid is awarded based on academic criteria, such as test scores, grades and activities. Your financial need does not factor into the decision. In most cases, merit-based awards are scholarships.

Need-based aid - which is far more common - is determined based on your financial need, and consists of scholarships, grants, loans, and federal work-study. Visit Determining Need for more information on how we calculate your financial need. More.

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