There are millions of Americans who are neck deep in debt. While one can always blame the recent economic crisis for this condition, oftentimes, it is the poor money management techniques of people which drives them into a lifetime of debt. In either case, life becomes very tough for these people. Moreover, it also begins to have implications on the economic picture of the nation. Hence, the government itself has to take initiative to clear the debts of these people. Every year, the federal government doles out 0.5 trillion dollars to clear the debts of its citizens! Free government grants are available through various debt relief programs initiated by the federal government. Why does the government offer free grant money to pay off debt? Who can get full government grants to pay off debt? Let us find answers to these and more. Free Government Grants to Pay Off Debt A grant is financial aid offered by the government to the needy, which need not be repaid by the recipient. You might have heard about free debt relief programs offered by private organizations, which indeed sound very lucrative. However, most of these programs are scams without an iota of truth in them. Government grants, on the other hand, are offered by federal or state governments for personal debt repayment. The reason why the government interferes with the personal debts of a person is that indebtedness causes the person to lose his buying potential. For an economy to survive and bloom, its citizens must be in a position to buy goods. Large pile of accumulated debts stunts the economic growth of the country. Hence, the government chooses to fund individuals so that they can pay off their debts and begin contributing towards the economic growth of nation. Eligibility One might think that if government gives off free money to pay off credit cards debt, it might as well sponsor my vacation to Hawaii! Obviously, this is not the case. The government does not shower grants upon everyone who is in debt. You got to meet certain requirements imposed by the government to become eligible for the grant money. Besides, you have to adhere by the terms and conditions set by the government regarding the use of grant money. Only people who have income less than their outstanding debts can hope to get government grants. If you succeed in proving that you have no means to cover up your outstanding debts, you might have a chance of getting a grant. Government officials will strictly scrutinize your income statement and outstanding debts while assessing your financial position. If they find that personal grants to pay off debts is the only way out for you, you might become the beneficiary of the government grants. How to Apply All the information regarding the eligibility criteria, application procedure, etc., is available on the official government website, grants.gov, which is dedicated to the various grants offered by the federal Government. You may also visit the local social security department office to get more information. Application forms are available at these offices for free. It is important that you fill the information in this form as honestly as possible. It is upon this information that the officials will make a decision about your candidature. Thus, free government grants are a boon to the needy. However, you must learn to manage your finances well so that you do not face such a situation in the future, because these grants are not offered to the same person again.