Similar to scholarships, most grants do not require repayment and can significantly reduce borrowing. One of the largest and most common of these is the Federal Pell Grant, a need-based grant that may be awarded during the financial aid process.

CalGrants
The California Student Commission (CSAC) administers grant programs exclusively for California residents.

Cal Grant A is a California State Grant that is applied toward registration and educational fees. Financing is available for a maximum of four years for baccalaureate candidates and five years for teaching credential candidates. Low- to moderate-income new and continuing students who demonstrate academic achievement and financial aid eligibility may apply.

CAL GRANT B is college opportunities grant for students from disadvantaged backgrounds and low-income families. Selection for this grant is based on financial aid eligibility, parent's income/size, parent's education level, and the students' grades. First-year recipients normally receive only a living allowance. Continuing students receive both a living allowance and tuition and fee support. Funding is available for up to four years for baccalaureate candidates and five years for teaching credential candidates.

CAL GRANT T is for students who already have a bachelor's degree or higher and are pursuing an initial teaching credential. Awards are offered for one academic year only. Recipients must teach for one year in a California low-performing public school for each $2,000 award increment received. Participants who do not complete this teaching service requirement must repay the funds received.