Print This PageFederal Grant Programs: Federal Pell Grants
Pell Grants are the most common form of federal aid. The grants are need based. The money is provided by the federal government, and the grants are awarded by schools.
What is a Federal Pell Grant?
The Federal Pell Grant program awards money to eligible students based on the results of the student's FAFSA (Free Application for Federal Student Aid). Unlike a loan, a Pell Grant doesn't have to be repaid. For many students, Pell Grants provide a foundation of financial aid to which other aid may be added.
Pell Grants are awarded only to undergraduate students who have not earned a bachelor's degree or a professional degree. (A professional degree is more advanced than a bachelor's degree. A student might earn a professional degree in fields such as dentistry, pharmacy, medicine, or law.) In some cases, you might receive a Pell Grant for attending a post baccalaureate teacher certification program.
How do I qualify?
To determine if you're eligible financially, the U.S. Department of Education uses a standard formula, established by Congress, to evaluate the information you report when you submit your FAFSA. The formula produces an Expected Family Contribution (EFC) number. Your Student Aid Report (SAR) tells you your EFC, and it will also tell you if you're financially eligible to receive a Pell Grant award. For the 2006-2007 school year, students had to have an EFC of 3850 or less to be eligible for a Pell Grant award.
You'll receive your SAR by e-mail if you list an e-mail address on your FAFSA. If you do not list an e-mail address, a paper copy will be sent to you by mail. If you submit your FAFSA online and provide an e-mail address, you should receive your SAR within 2-3 weeks. If you submit a paper FAFSA and do not provide an e-mail address, it may take 6 weeks to receive your SAR by mail.
How much money can I get?
Awards for the 2006-2007 award year (July 1, 2006 to June 30, 2007) ranged from $400 to $4,050. You can receive only one Pell Grant in an award year. How much you get depends not only on your EFC but on your cost of attendance, whether you're a full-time or part-time student, and whether you attend school for a full academic year or for only part of the year. You may not receive Pell Grant funds from more than one school at a time.
How will I be paid?
Your school can credit the Pell Grant funds to your school account, pay you directly (usually by check), or combine these methods. The school must tell you in writing how and when you'll be paid and how much your Pell Grant will be. Schools must divide up your Pell Grant and pay you a portion at least once per term (semester, trimester, or quarter, depending on what your school uses). For example, a school may pay you half of your Pell Grant amount in the fall semester, and the other half in the spring semester. Schools that do not use formally defined, traditional terms must pay you at least twice per academic year.
Can I receive a Federal Pell Grant if I am enrolled less than half time?
Yes, if you're otherwise eligible. You won't receive as much as if you were enrolled full time, but your school must disburse your Pell Grant funds in accordance with your enrollment status and can't refuse you an award simply because you're enrolled less than half time.