Grants and scholarships are both types of gift aid. Gift aid is money that does not need to be earned or repaid, unlike student employment and student loans.
| BASIS FOR COMPARISON | GRANT | SCHOLARSHIP |
|---|---|---|
| Meaning | Grant implies a sum of money given by the government or any other entity to an individual or entity to carry on a specific purpose. | Scholarship refers to a monetary aid, awarded to the student, so as to help him undergo high level education. |
| Based on | Need | Primarily merit, but considers other factors also. |
| Conferred to | Any person or entity, fulfilling specific criteria. | Students only |
| Performance | Need not to be maintained. | Need to be maintained. |
| Purpose | Awarded for a prescribed purpose. | Educational purpose. |