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Guide/06 Paying for College

Merit & External Scholarships

Institutional merit aid versus outside scholarships, where each is worth your time, and why starting early pays off.

Chapter 19 of 242 min readUpdated September 23, 2026 Preview

Merit scholarships work differently from need-based aid. They're awarded for achievement, leadership, talent, or specific criteria — and unlike need-based aid, you usually have to go after them deliberately.

There are two very different kinds, and one of them is far more reliable than most students realize.

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What’s in this chapter

  1. 1Institutional merit aid
  2. 2External scholarships
  3. 3Be careful