The Pell Grant is a federal student aid program that provides need-based grants to low-income undergraduate students and certain graduate students. Pell Grants are highly sought after because, unlike a loan, a grant does not have to be repaid.
Two significant changes to the Pell Grant have been made under the Obama administration. First, the maximum amount of money that can be awarded as a Pell Grant has been increased from $4,700 to $5,350. A significant amount of funding ($15 billion) for the Pell Grant program was set aside from the stimulus package passed in February of 2009. Starting in the 2010-2011 academic year, the maximum Pell Grant will be even higher at $5,550.
Second, job status is now a factor used in determining an applicant’s eligibility for a Pell Grant. That means, for students who have recently lost a job, it will be easier to obtain Pell Grant funding. Rather than waiting until you can prove that your household income has decreased, you just need to show proof of your unemployment.
For more information on the Pell Grant program,
visit http://www2.ed.gov/programs/fpg/index.html.