Scholarships and grants are both free money to help you cover the cost of your education. Unlike student loans, you don’t have to pay back college grants or scholarships, except under certain circumstances, like withdrawing early from a program or a change in your enrollment status.
The biggest difference between college grants and scholarships is that grants for college are typically need-based. Scholarships may be need-based or merit-based, which means they’re given out based on some kind of ability, hobby, ethnicity, denomination, etc. Grants may also come from either the school, state government, federal government (Pell Grant), or a third party organization. Government grants will be awarded based on your FAFSA application while other non government grants may need to be applied to separately.