A Pell Grant is a subsidy the U.S. federal government provides for students who need it to pay for college. Federal Pell Grants are limited to students with financial need, who have not earned their first bachelor’s degree, or who are enrolled in certain post-baccalaureate programs, through participating institutions.
It is the most known grant program and provides students of “middle income” homes some money towards college. Over 5,000 institutions participate in the program. By why wouldn’t they? Its free money!