Social Finance is partnering with TheDream.US, a college access and success program for immigrant youth, to develop a $100 million graduate school loan pilot program for Deferred Action for Childhood Arrivals (DACA) and Temporary Protected Status (TPS) recipients who want to pursue professional degrees but can’t access public loan programs due to their immigration statuses.
This first-of-its-kind impact investment fund aims to provide loans to more than 1,500 TheDream.US scholarship recipients to help them achieve economic and social mobility. Dreamers who receive financial aid through the fund can access loans with interest rates on par with those available to American citizens via the federal government’s Direct PLUS loan program. With professional degrees in fields such as business, education, medicine, and law, graduates can land well-paying jobs in fields desperate for new talent and diverse perspectives.
The student experience drives this graduate loan program, which provides educational support, ensuring Dreamers attending graduate degree programs only take on manageable debt to achieve their career aspirations.
How it Works
Dream.US scholars apply for a loan. Throughout the process, they receive financial education and support. Over time, as more students graduate and repay, they build track records of repayment that help attract more low-cost capital to finance more loans for future students.
THE STUDENT PERSPECTIVE
“TheDream.US provides the resources and necessities for someone like myself to truly achieve their dreams. Thanks to the scholarship and loan program, I was able to obtain my bachelor’s in biomedical science and attend medical school at the University of North Texas Health Science Center’s College of Osteopathic Medicine.” – Homero Coss
TheDream.US is connecting students to the loan program.
Funding U is processing the student applications and originating the loans.
Social Finance is raising the fund and managing it toward optimal student outcomes.
Donald Graham, The Pershing Square Foundation, and other impact investors and philanthropists are providing grant equity and repayment guarantee for the project.
Social Finance’s project design work was generously supported by The Ford Foundation.