Is a Pell Grant the same as a scholarship?

Not exactly. A Pell Grant is a specific federal program based on financial need, determined through the FAFSA, while scholarships are typically awarded by schools, organizations, or private donors, often based on merit, background, or other specific criteria rather than need alone. Both are forms of aid that don’t need to be repaid, but they come from different sources and follow different eligibility rules.

Can undocumented students receive any grants?

Federal grants like the Pell Grant generally aren’t available to undocumented students, but some states and individual schools offer grant or scholarship programs specifically open to undocumented students. Researching a specific state’s policies and individual school offerings directly is worth doing, since these programs are often less visible than federal ones and require more active searching to find.

How do I know if I qualify for the Pell Grant?

Completing the FAFSA is the only way to find out, since eligibility is calculated based on the Student Aid Index and a school’s cost of attendance. There’s no way to determine eligibility without submitting the form, and even a rough guess based on income alone can be misleading since the calculation considers several other factors as well.

Back to Glossary

Grant: money you don’t pay back, if you know where to look

Key takeaways
- A grant is money given, usually based on financial need, that doesn’t need to be repaid.
- The Federal Pell Grant is the largest federal need-based grant program for undergraduate students.
- Grant eligibility for federal programs depends on immigration status, similar to other federal financial aid.
- Grants exist beyond education too, spanning small business, community development, and other purposes.
- Because grant eligibility and availability change, checking current sources directly is more reliable than relying on older guides.

A financial grant is money given, usually by a government or institution, that doesn’t need to be repaid. Here’s what types exist for immigrants, and how to find ones that might apply.

What is a grant?

A grant is money awarded, typically based on demonstrated financial need or a specific purpose, that the recipient doesn’t need to repay, unlike a loan. For education specifically, the Federal Pell Grant⁠(opens in new window) is the largest federal need-based grant program, awarded to undergraduate students who demonstrate significant financial need, based on their Student Aid Index⁠(opens in new window) and their school’s cost of attendance⁠(opens in new window).

Grants generally fall into a few broad categories: need-based grants like the Pell Grant, awarded according to a formal calculation of financial need; merit-based grants, sometimes offered by individual schools to recognize academic achievement; and targeted grants, aimed at specific groups or purposes, such as students pursuing particular fields of study or coming from specific backgrounds. Understanding which category a specific opportunity falls into helps in figuring out whether eligibility depends mainly on financial need, academic performance, or some other specific criteria.

Why grants matter for immigrants seeking financial support

Grant content is often scattered and hard to navigate, but understanding the basic landscape helps immigrants identify where to look:

Federal education grants like the Pell Grant are the most widely available. These are awarded based on financial need, determined through the FAFSA⁠(opens in new window), and represent one of the largest sources of grant funding available to eligible students.
Eligibility depends on immigration status. As with other federal aid, permanent residents and certain other specific categories generally qualify, while undocumented students typically don’t qualify for federal grants, though this doesn’t mean no grant funding exists for this group.
Grants exist beyond education too. Community development grants, small business grants, and other targeted programs exist at federal, state, and local levels, though availability and eligibility vary significantly, and many of these programs are less centrally advertised than education-specific grants.
State and institutional grants often fill gaps federal programs leave. Many states offer their own need-based grant programs, sometimes with different eligibility rules than the federal government’s, and individual colleges frequently have institutional grant funds specifically for students who don’t qualify for federal aid.

Who qualifies

For federal education grants specifically, eligibility follows the same general immigration status rules as other federal financial aid: U.S. citizens and eligible noncitizens, including permanent residents and certain other categories, generally qualify, while undocumented students and most international students on a temporary visa typically don’t qualify for federal grants. Some states and institutions offer their own grant programs with different eligibility rules, so checking specific state and school options is worthwhile without federal qualification, since these programs are sometimes specifically designed to serve students the federal system excludes.

Sending money for education internationally

For families whose student qualifies for a grant like the Pell Grant, understanding how to qualify and succeed with this specific grant⁠(opens in new window) helps maximize this source of funding before turning to loans or family support sent from abroad. Since a grant doesn’t need to be repaid, prioritizing grant eligibility and application deadlines before relying on other funding sources genuinely reduces the total amount a family needs to cover through other means, and every dollar secured through a grant is effectively a dollar the family doesn’t need to send or borrow.

Grant eligibility is worth revisiting each year too, since a family’s financial circumstances, and therefore a student’s calculated need, can change from year to year. A student who didn’t qualify for a need-based grant in their first year might become eligible later if the family’s financial situation changes, so completing the FAFSA annually even after a disappointing first-year result is worth doing.

Where to look for grants beyond the Pell Grant

Beyond the Pell Grant, several other federal grant programs exist for specific circumstances, such as the Federal Supplemental Educational Opportunity Grant for students with exceptional financial need, and the TEACH Grant for students committing to teach in a high-need field afterward. Each has its own eligibility rules and application process, layered on top of the standard FAFSA, so asking a school’s financial aid office specifically which grant programs might apply beyond the Pell Grant is worthwhile, since these are sometimes awarded without a separate application when FAFSA information already qualifies a student.

State grant programs add another layer worth exploring. Many states operate their own need-based grant programs funded independently of the federal government, sometimes with meaningfully different eligibility criteria, including some states that extend grant eligibility to undocumented students who meet residency and other requirements. Because these programs vary so much by state, checking a specific state’s department of education website, or asking a school’s financial aid office directly, is far more reliable than assuming a general national answer applies to a given situation.

Common questions about grants

Is a Pell Grant the same as a scholarship?

Not exactly. A Pell Grant is a specific federal program based on financial need, determined through the FAFSA, while scholarships⁠(opens in new window) are typically awarded by schools, organizations, or private donors, often based on merit, background, or other specific criteria rather than need alone. Both are forms of aid that don’t need to be repaid, but they come from different sources and follow different eligibility rules.
Can undocumented students receive any grants?

Federal grants like the Pell Grant generally aren’t available to undocumented students, but some states and individual schools offer grant or scholarship programs specifically open to undocumented students. Researching a specific state’s policies and individual school offerings directly is worth doing, since these programs are often less visible than federal ones and require more active searching to find.
How do I know if I qualify for the Pell Grant?

Completing the FAFSA is the only way to find out, since eligibility is calculated based on the Student Aid Index and a school’s cost of attendance. There’s no way to determine eligibility without submitting the form, and even a rough guess based on income alone can be misleading since the calculation considers several other factors as well.

In Summary

A grant offers genuinely valuable funding that doesn’t need to be repaid, but navigating what’s available, and confirming specific eligibility based on immigration status, requires checking current, reliable sources directly rather than relying on outdated general guidance that may not reflect the current rules. Prioritizing grant applications before other funding sources maximizes the aid that doesn’t add to debt, and revisiting eligibility each year ensures nothing is missed as a family’s circumstances change.

This publication is provided for general information purposes only and is not intended to cover all aspects of the topics discussed herein. This publication is not a substitute for seeking advice from an applicable specialist or professional. The content in this publication does not constitute legal, tax, or other professional advice from Remitly or any of its affiliates and should not be relied upon as such. While we strive to keep our posts up to date and accurate, we cannot represent, warrant, or otherwise guarantee that the content is accurate, complete, or up to date.