Pell Grants are named after former Rhode Island Senator Claiborne Pell a strong advocate of federal scholarship money during his long tenure in the US Senate. As of this date the maximum amount for a Pell Grant is fixed at $5,550. The actual amount of money that you can receive is based on a formula that takes into account your finances, whether you will be attending full time or part time and the cost of your school.
The grants may be used to attend any of roughly 5400 institutions for undergraduate studies. Some post graduate studies that will result in teacher certification are also eligible. These are available on a very limited basis and have very strict requirements so check carefully before counting on being eligible.
You may only use one grant at a time. Students sentenced to state and federal penitentiaries are not eligible for Pell Grants, however students in local jails are. Pell grants cannot be used for correspondence courses unless they lead to a degree.
Pell Grants can only be used for study in foreign countries if that study is part of a degree program at a US institution. This is a grant, not a loan, so you never have to pay it back. To apply you will need to fill out a form known as the FASFA or free application for student aid. You will need a social security number. If your number was just recently issued to you, you may experience an error with the government’s online form.
In that case contact the Department of Education for directions on to proceed. Factors considered in determining the amount of the grant include:
-your income (including the your assets if you are independent)
-your parents income and assets if you are a dependent
-the number of other family members attending post secondary institutions
The grants are administered through the educational institution which will either credit your account or issue a check to you. They are required to disburse at least once per term or twice per year so make sure you fully understand all the Pell grant requirements.