What is the difference between merit-based and need-based aid?
Merit-based aid is determined based on academic criteria, such as student scores and activities. Financial need does not factor into the awarding of merit-based awards. Merit-based scholarships are an example of merit-based aid as they are based on academic excellence. Need-based aid is determined based on a student’s financial need and consists of scholarships, grants, loans, and federal work-study.
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.