Undergraduates with loans were most likely to receive them from the federal government: in 1999–2000, the percentage of undergraduates taking out federal loans (28 percent) was much higher than the percentages borrowing through state (1 percent), institutional (1 percent), and private commercial or nonprofit sources (3 percent).

Undergraduates with grants, on the other hand, were more likely to receive them from a variety of sources. More undergraduates were awarded grants from the federal government (23 percent) than from any other source, but 17 percent received grants from institutional sources, 14 percent from state sources, and 7 percent from private sources. Low-income dependent undergraduates were more likely to receive grants from the federal government than from any other source. Middle-income dependent undergraduates were more likely to receive grants from state and institutional sources than from federal or private sources. High-income dependent undergraduates were more likely to receive grants from state, institutional, and private sources than from federal sources. Both low-income and middle-income independent undergraduates were more likely to receive grants from the federal government than from any other source.

Among all undergraduates, federal grants were awarded to 17 percent of those at public 2-year institutions, about one-quarter of those at public and private not-for-profit 4-year institutions, and 53 percent of those at private for-profit institutions. At private not-for-profit 4-year institutions, 46 percent of all undergraduates received institutional grants, a higher percentage than at any other type of institution. Undergraduates at these institutions also received a larger average institutional grant award ($6,600) than those at any other type of institution.