The 4 Types of College Scholarships
3rd PARTY SCHOLARSHIPS
Free Money (usually) given by organizations (usually) directly to the college for indirect costs.Colleges REQUIRE that the FA Office be notified if a scholarship is awarded to a student.
Usually the check is written out to the College.
Nearly always, colleges first apply the scholarship to Student Direct Loans ($5,500 the first year) – Remember every college will offer 1st year students $5,500 student direct loans.
CA private colleges: After the LOANS, scholarships are applied to lower the CAL Grant before going to the student – Magically, there is nothing left for the student! (smiles) – CA State Law requires it.
3rd PARTY SPONSORSHIPS
Free Money (usually) given by a FEW non- profit organizations (usually) directly to the STUDENT for indirect costs.Student is NOT required to report SPONSORSHIPS to colleges after their FA AWARD.
It’s like a bunch of people get together and agree to give a student money for college in a specified/organized manner.
Its often accidentally and mistakenly called a “scholarship’ and it does ACT like a scholarship.
West Angeles has a SPONSORSHIP FUND.....for members and a little bit for ACTIVE HIGH GPA, regularly attending program participant.
INSTITUTIONAL NEED-BASED GRANTS
Free Money (usually) given by colleges to “themselves” to lower direct college cost. $$$$ do not REALLY change hands!!Each year need is re-assessed from FAFSA and the NBG can go down or sometimes up.
For CSU and UC, NBGs = CAL Grants, University Grants and Pell Grants for incomes < $48,000 for 3 family members.
SOME Private Colleges and Universities also award NBGs; HBCUs do not! Both HBCU and PWI’s do award Federal Pell Grants (Maximum = $5,890).
INSTITUTIONAL ACADEMIC MERIT-BASED GRANTS
Free Money (usually) given by colleges “to themselves” based on the student’s ACADEMIC MERIT (GPA and SAT/ACT)Lowers direct college cost. $$$$ do not REALLY change hands!!
Some Colleges’ “scholarships” (i.e. Western Public Colleges, SPU & GCU) are Easier to Get than from Other Colleges’.
Hardest to Get: Private Colleges – including HBCU and UCs.
Top 3rd Party Scholarship Sources
Parent’s Job
Fraternities and Sororities
Utilities
Stores
Credit Unions
Your Church
Enrichment Programs – Like Us
Unions
Smaller Cities
School Districts