Merit scholarships can help families keep college expenditures manageable. While some merit scholarships are tied to a student’s financial need, many do not consider a student’s family’s income or financial situation. Regardless of your family’s financial situation, good college planning should always consider merit scholarship opportunities. There are two categories of merit scholarships available to students: institutional scholarships and private scholarships. This month we’ll look at scholarships provided by colleges.
Institutional scholarships are scholarships that colleges offer to admitted students. Colleges are actually the largest source of scholarship money in the U.S. Institutional merit scholarships can range from a few hundred dollars to the full cost of attendance. The majority of merit scholarships awarded by colleges are given without regard to financial need; even students from very wealthy families may receive institutional merit scholarships.
Colleges can offer the following types of merit scholarships:
Academic scholarships – Academic scholarships are awarded based on the student’s grades and test scores (SAT or ACT). What type of grades and test scores are required to be considered for an academic scholarship? In general, colleges look for students who have maintained grade averages of 3.0 (B) and above, with the largest scholarships reserved for students who maintain a 3.5 (B+) average and above. In terms of test scores, there are some colleges that offer merit scholarships to students with SAT scores in the 1100 (reading and math only) range or ACT composite scores in the 26/27 range, but the size of scholarships generally increases once a student’s scores go above 1200 on the SAT or 28 on the ACT. The test score “sweet spot” for sizable scholarships at many schools is 1300+ and above on the SAT (reading/math) and 30+ on the ACT.
Personal quality scholarships – Colleges sometimes offer scholarships in hopes of attracting students with certain personal characteristics. Some common characteristics tied to the awarding of college scholarships can include demonstrated leadership ability, special talents in the visual or performing arts, or a desired type of diversity (geographic, ethnic, economic) which the student will bring to the college’s campus. Some colleges also offer scholarships to students who plan to major in particular departments. While some types of personal quality scholarships don’t have grade or test score requirements, often the student’s high school academic achievement is considered in making awards.
Athletic Scholarships – Students who are recruited to play athletics in college may receive scholarships at NCAA Division I and Division II colleges. Contrary to public opinion, there are very few “full ride” scholarships available for student athletes. In general, larger athletic scholarships are awarded for top-ranked players in the money-making sports such as football and men’s basketball. In other sports, athletes may receive smaller scholarships or none at all.
Some colleges do not offer merit scholarships. Instead, they offer only need-based aid. This is important to understand if merit money is important to your family. If so, you may want to focus your college list mainly on colleges that offer sizable scholarships to students with grades, test scores, and other characteristics similar to yours.
Private Scholarships — In addition to scholarships awarded by colleges, many organizations offer scholarships to students who plan to attend college. These types of scholarships are available nationally and locally. Some national scholarships like the Gates Millennium Scholarship or the Coca-Cola Foundation offer large awards but are very competitive. Other national scholarships and most local scholarships are relatively small. Most private scholarships have specific eligibility criteria; demonstrated financial need is a common requirement. Still, there are many private scholarships – especially at the local level – that are not based on family need.
There are many scholarship search websites available online where students and parents can identify national scholarship opportunities. For local scholarships, check with your school counselor. Most high schools receive numerous announcements about local opportunities each year. Keep alert for announcements in local newspapers and community bulletin boards as well.
An important thing to know about private scholarships is that the scholarship money is generally given directly to the college the student will be attending. Colleges differ in how they apply outside scholarship monies to a student’s bill. Some colleges apply any outside scholarship money towards reducing the amount of loans in a student’s financial aid package, while other colleges deduct the amount of outside scholarships from a student’s grants and even from any institutional scholarships the college has awarded the student. Therefore, outside scholarships generally do not help much in terms of reducing the family’s expected contribution. If your family isn’t eligible for need-based aid, however, the full outside scholarship amount will be applied to your college tuition bill.
