Are DACA Recipients Eligible for Personal Loans?

Are DACA Recipients Eligible for Personal Loans?

A personal loan is exactly what its name suggests: a loan given for personal reasons. These loans can usually be used to finance anything, from studies to repairs around the house and even the pixie prom dress of your daughter. The beauty of personal loans is that you do not have to give motivation for why you are taking it out.

Most of the times, yes, DACA recipients are eligible for personal loans but this will mostly depend on where you are getting the loan from. There are some instances in which you might get the personal loan right away and other instances in which you may come across some trouble with the approval.

Why It’s Hard for DACA Recipients to Borrow

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Many lenders, particularly banks, refrain from offering DACA loans to people they consider a risk. With the status of DACA continuously at doubt, there is always the risk that the borrower can be deported due to change of law making it difficult for banks to recover their money.

Risk factor aside, DACA recipients also do not have the necessary paperwork and there is also a chance that they do not have a co-signer either. If they apply for a bank loan, there is a high chance that they will be refused but if they go for an alternative lender, the chances of approval are significantly higher. (más…)

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