In the rush to qualify for student loans, many parents and students overlook the more attractive option of student grants. Yet, there is nothing better than money for school that does not have to be repaid. Among student grants are the Pell Grant, the Federal Supplemental Educational Opportunity Grant, the Academic Competitiveness Grant, the National SMART Grant, and the Fulbright program, all offered by the U.S. government. States and private organizations also have grant programs.

Federal

The Pell Grant, named for Sen. Claiborne Pell, is a need-based grant provided by the U.S. government to low-income college and vocational school students to promote access to postsecondary education, according to the U.S. Department of Education. The amount of a Pell grant depends on how much money you or your family will contribute to college expenses; how much it costs to attend the college; whether you are enrolled full-time or part-time; and whether you plan to attend for the entire school year.

The Pell Grant is awarded through the school via its financial aid office and may be a component of what is known as a financial-aid package. This package may also include direct grants or scholarships from the school itself or other sources, as well as student loans.

The government also offers the Federal Supplemental Educational Opportunity Grant. According to the Department of Education, about 4,000 colleges and universities provide access to these need-based grants. This type of grant is often included in the financial aid packages of students whose families can offer the least support, according to the agency. Many students who receive these grants also receive Pell Grants.

Federal Supplemental Educational Opportunity Grant funds are allocated to the school itself. The institution must in turn contribute 25 percent of the grant money awarded to each student.

State

As access to higher education is an ongoing goal in the U.S., most states offer grant programs to individual students. These programs may be need or merit based. The California Cal Grant program, for example, offers a range of award types based on need, grade point average, and whether you plan to attend a two-year or four-year college. The competition for state higher education grants varies by state and by specific grant program.

Merit-Based

The Academic Competitiveness Grant is a merit-based grant designed to promote academic achievement, as well as high curriculum standards during high school and continued achievement through completion of the first year of college. These grants are only given to students entering their first and second years of college. The amount of the grant, as of 2010, is $750 for freshmen and $1,300 for sophomores, according to the Department of Education.

Eligibility requirements include receipt of a Federal Pell Grant, and at least half-time enrollment in college. In addition, students must have attended what the government terms as a rigorous secondary school. The federal government maintains a list of such schools. If your school is not on the list the year you apply, you will not be eligible for the grant. Students who apply for the grant as they head into their sophomore year must have attained a grade point average of at least 3.0 out of 4.0 during their freshman year.

Math and Science

To promote achievement in math and the sciences, the U.S. government created the National Science & Mathematics Access to Retain Talent Grant. It is also known as the National SMART Grant. The award is open to college juniors and seniors “who are majoring in physical, life, or computer sciences, mathematics, technology, engineering or a critical foreign language; or non-major single liberal arts programs,” according to the U.S. Department of Education. The grant is both need and merit based. To be considered, you must be eligible for the Pell Grant and must maintain a GPA of at least 3.0 on a 4.0 scale in courses required under your major program of study. As of 2010, the award may be as much as $4,000.

Graduate Study

The Fulbright grant is provided to postbaccalaureate or graduate students to accomplish research and/or study in a country other than their own. According to Oklahoma State University, these grants are truly comprehensive, providing support for transportation to and from the home country; living costs; supplemental health insurance; research allowance; and possibly courses in language or cultural orientation. In some cases, tuition support is also granted.

The Fulbright Program is a highly selective international study program. The application requires a Statement of Research or Study, a personal statement and letters of reference. The review process is rigorous. Your application will be reviewed by the school from which you graduated, the Institute for International Education, and the country in which you want to study.

Private

Private, nonprofit organizations may offer grants based on need, field of study, ethnic or racial background, student’s geographic origin, and/or academic or extracurricular achievement. For-profit organizations may also offer money for higher education and often under similar eligibility requirements. Grants from for-profit organizations are termed scholarships.