Summary:
Financial aid refers to money provided to help students and their families pay for college. It can come from governments, colleges, or private organizations, and includes grants, scholarships, loans, and work-study programs. Financial aid makes higher education more affordable and accessible, especially for students with financial need.
What Is Financial Aid?
In the United States, college tuition and living expenses can be very high, but many students receive financial aid to reduce the cost. Financial aid is designed to help students who cannot afford full tuition, as well as to attract talented students who meet academic, athletic, or other criteria. Most financial aid is awarded based on either financial need or academic merit.
Aid can cover various costs, including tuition, housing, meals, textbooks, transportation, and personal expenses. The amount awarded depends on family income, the cost of the school, and the specific aid policies of each institution.
Types of Financial Aid
There are four main types of financial aid:
- Grants – Need-based funds that do not need to be repaid, such as the U.S. federal Pell Grant.
- Scholarships – Awards based on academic achievement, talent, leadership, or other criteria. Some scholarships also consider financial need.
- Loans – Borrowed money that must be repaid after graduation, often with interest. Loans may come from the government or private lenders.
- Work-Study – A program that allows students to earn money through part-time jobs while studying.
Colleges may offer aid packages that include a combination of these types.
How to Apply for Financial Aid
To apply for financial aid in the U.S., students typically submit two main forms:
- FAFSA (Free Application for Federal Student Aid) – Required for U.S. citizens and eligible residents to receive federal aid.
- CSS Profile – A separate form used by many private colleges to award institutional aid; also open to international students.
Deadlines vary by college, but forms are usually due in the fall or winter of the student’s final year of high school.
International Students and Financial Aid
Many U.S. colleges offer limited financial aid to international students, often through institutional grants or scholarships. Some elite universities (such as Harvard, Amherst, and MIT) offer need-blind or need-based aid to international applicants. However, most schools are need-aware, meaning financial need may affect admission decisions.
International students should check each school’s financial aid policies carefully and be prepared to submit translated financial documents, such as bank statements and income reports.