A scholarship can basically be referred to as a payment or a grant that is made to a student so that it can enable the student to finance his education. A scholarship is different from a loan in that a loan is usually repaid the full principle given plus the interest on top of it while a scholarship is given on basis of the students academic qualification or the students achievement in other non academic fields such as sports or drama.
The sources of scholarship can be many ranging from the university where the student is studying and the board sees that the student is an exceptional performer in his studies and they decide to finance him to go and study in a very good institution and pay all his fees and also give him some little extra amount for his upkeep.
One can also get a scholarship from the Government where the Government announces that it is offering scholarships for students who come from needy background but they are very good performers the Government can then decide to reward those who apply for the scholarships by carefully scrutinizing the background of the applicants, however a scholarship should be differentiated from a bursary.
A good source of scholarships also includes organizations or large corporations as a form of corporate social responsibility and a way of giving back to the society. The organizations can decide to team up with the school and help identify a few students who are performance but cannot be easily able to get enough money to finance their education up to higher levels.
In as much as a scholarship is not a loan most of the organizations that offer them consider the scholarship as an investment because the scholarship can be awarded on the basis that when the student finishes the studies then he should go back and work for the organization to assist in the betterment of the organization however it is not a must.
Athletics scholarships, on the other hand, are awarded to students who perform exceptionally well in the sports world but also are average performance in the classroom, this type of scholarships are given to students on conditions that they are going to be trained well on their specific area of interest such as basketball, football, tennis, netball but however they are told that they should maintain a certain grade on their performance failure to which their activities in the field are going to be limited and some can even decide to revoke the scholarship if poor performance in the classroom continues.