Pell Grants
For students from low-income families who plan on pursuing higher education, federal Pell Grants can be a godsend. Unlike loans, grants do not have to be repaid, greatly easing the financial pressures of college. Millions of U.S. students receive these grants every year; they are the backbone of financial aid packages designed to alleviate the financial burden of higher education. Indeed, Pell Grants assist approximately 25% of all undergraduates, and currently represent the largest federal grant program.
Pell Grants provide up to $4,731 (for the 2008-2009 academic year) to students based on financial need. The maximum grant amount is scheduled to rise to $5400 by the 2012-2013 academic year.
Students seeking trade school grants or college grants must first fill out a FAFSA (Free Application for Federal Student Aid.) This application, which costs nothing to submit, takes into account several factors: the student's income and his or her family's income and assets, as well as the household's size and whether or not any other family members are attending post-secondary institutions. Award amounts also depend on the cost of the student's education, and whether s/he plans to attend full time or part time. To be eligible, students may not already posses a bachelor's degree, with the exception of a few post-baccalaureate programs for teacher licensure.
To get further information and to apply for a Pell Grant using the FAFSA, students should be sure to visit the official government website (not a middleman who may charge a fee.) There are several steps in this process, but students find that it is well worth it in order to receive funding. The FAFSA covers other sources of aid in addition to the Pell Grant. Students will also find it useful to submit their FAFSAs early; this maximizes the chances of receiving aid and also makes it more likely that aid packages from different schools can be compared. School deadlines for the FAFSA are much earlier than the official government deadline. Although it's possible to win merit scholarships without the FAFSA, students seeking income-based aid must file a FAFSA. Family income limits for need-based aid can be higher than some students think, yet some students miss out by not filing a FAFSA, thinking they may not be eligible.
Depending on individual circumstances, a student may meet the criteria for receiving a Pell grant, which is ultimately administered by the college or university that he or she attends. Students may not use more than one Pell grant at a time. Schools may choose to credit the student's account with the Pell grant amount, pay the student directly, credit the student's bank account, or some combination of these methods.
During the 2005-2006 year, 57% of Pell grant recipients had family incomes of less than $20,000. Roughly 35% of grantees attended public two-year colleges, and 45% public 4-year colleges, with the remaining grantees attending other institutions.
The Pell Grant program is named for Senator Claiborne Pell, Democratic Senator from Rhode Island for 36 years from 1961 to 1997. He was a driving force behind the government's Basic Educational Opportunity Grants, which were labeled Pell Grants in 1980 out of respect for his efforts.
Article ResourcesThe U.S. Department of Education
http://www.ed.gov/programs/fpg/index.html
FAFSA Website
http://www.fafsa.ed.gov/
Student Aid
http://studentaid.ed.gov/PORTALSWebApp/students/english/PellGrants.jsp
Congressional Pell Grant Caucus
http://keller.house.gov/Pell/
The Center on Congress at Indiana University
http://www.centeroncongress.org/radio_series/pell_grants.php
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