<p>I can't believe I'm asking this now, but:</p>
<p>Consider the following numbers (rounded, for convenience):</p>
<p>COA = $50,000
EFC = $20,000
Financial Aid Package:
Merit Scholarship = $10,000
Other institutional grant (I assume need-based) = $10,000
Federal Student Aid (Stafford/Perkins/Work Study) = $10,000 </p>
<p>Suppose the student had not gotten the merit scholarship. Do schools try to make up the difference in other institutional grants, or does it just increase the amount you are expected to take out in loans, etc.? In other words, do you actually come out ahead with the merit scholarship, or does it end up being a wash?</p>
<p>I'm sure it will vary from place to place, but I'd appreciate any generalities people can offer.</p>
<p>It absolutely varies by school. There is no way to even generalize on this one.</p>
<p>It also depends on whether the college meets full need. Some/many? merit colleges do not meet full need: NYU, BU, George Washington, Tulane, and Miami are several that come quickly to mind.</p>
<p>Suppose the student had not gotten the merit scholarship. Do schools try to make up the difference in other institutional grants</p>
<p>If it’s a school that meets need, but puts loans and work study in its packages, then likely there would have been a loan and work-study. </p>
<p>If it’s a school that doesn’t meet need, then there may have been a gap in coverage.</p>
<p>Actually, I would say that if it’s a highly-ranked college that meets full need, it’s a wash because it looks like the student already has full loans and a work-study. In some packages, the meet full-need schools do replace loans and work-study with merit but it doesn’t look like that is the case here.</p>
<p>If it’s a college that doesn’t meet full need, the student is probably ahead because, chances are the student would have been gapped.</p>