1. A player on a sports team for the University of Maryland, College Park.
  2. A student, alumnus, or other member of the University.

The mascot University of Maryland, College Park is the diamondback terrapin, and the sports teams (or perhaps any competitive school team of any sort) are known as the Maryland Terrapins. Since terrapin is a bit of a mouthful, people often refer to them by nickname the Terps. As is customary with such terms at many other schools, the term can also be used to refer to students, alumni, other people affiliated with the University.

A lot of the sports and other university merchandise and advertising uses the term “Terps”, often baring phrases such as,

Go Terps!