Difference between Scholarship and Grant
Key Difference: Scholarship is a financial aid awarded to students to help them pay for their education whereas grants are funds disbursed by donors like a Government Department, Corporation, Foundation or Trust, to a recipient.
Scholarship is a financial aid awarded to students to help them pay for their education whereas grants are funds disbursed by donors like a Government Department, Corporation, Foundation or Trust, to a recipient.Another difference between them is Grants are often need-based, while scholarships are usually merit-based. Recipient of a grant can be a nonprofit entity, educational institution, business entity or an individual whereas scholarships are awarded to students. However both are covered in financial aid that doesn’t have to be repaid. The generic term “award” is often used and can mean either a scholarship or a grant. Scholarship generally refers to grants in support of undergraduate education and generally include merit based, need based, student specific (quality based upon gender, race, religion etc), and career specific or college-specific scholarships. Still because of little differences the terms are often used interchangeably.
Grants represent any grant of money in exchange for a purpose or project. A grant may be given for any purpose, not necessarily just for education whereas scholarships are specifically for the students. Apart from education grant, grant consists of Government grants and foundation grants. Government grants can be received by qualifying citizens or organization for a broad spectrum of purposes which serve purposes like setting a small business, employment and training program, environment initiatives, and research and development programs. Foundation grants have narrow, targeted guidelines for and restrictions on how the grant money can be spent. Apart from educational grant the grants cannot be provided to serve individual’s personal services; fro example buying a car etc.
Scholarships serve students to fulfill their desire of capacity building in today’s world and lead students to higher degrees and achievements whereas foundation grants and government grants are intended to develop and support projects that will benefit the community at large. Even for small business grant for individual, it is important to exhibit the importance of this business and demonstrate it to be beneficial for the community.
Image Courtesy: jiemsakk.com, collegegrant.net