Merit aid is a form of college financial aid that is awarded based on academic, athletic, artistic, leadership, or special-interest merit, rather than financial need. Merit scholarships can be awarded based on a number of criteria, including performance in a particular school subject, club participation, or community service. Merit aid is often used to recruit high-performing students to attend a particular college or university. Here are some key things to know about merit aid:

• Merit aid can help lower college costs and close the gap between the cost of attendance and need-based financial aid.
• Merit scholarships can be awarded by nonprofit organizations, private businesses, and colleges and universities.
• Merit-based aid is generally awarded directly by the institution the student attends, rather than issued directly to the student.
• Some colleges require a separate application for merit aid, so prospective students should research the merit aid policies at each college to which theyre applying.
• Students may need to maintain a certain GPA or meet other requirements to continue receiving merit aid.
• The average merit award to full-time undergraduates among the 1,032 ranked colleges that provided this information to U.S. News in an annual survey was $12,088 in the 2022-2023 academic year.

Overall, merit aid is a way for students to receive financial assistance for college based on their achievements, rather than their financial need.