Grants and scholarships are not the same things, and the two terms are often confused.

People often wonder about the difference between scholarships and grants. Both are student financial aid that helps to pay for the necessities associated with higher education such as tuition, room, board, and textbooks. Though people sometimes confuse the terms or use them interchangeably, each has their own eligibility requirements and guidelines. One similarity grants and scholarships have is that they don’t need to be repaid, unlike college loans. Let’s take a look at the various characteristics of scholarships and grants.