How to get a loan to a migrant in the USA

The share of immigrants in the United States is 14%. This is a big market for banks, but not everyone decides to work on it. More detailed —

How to get a loan to a migrant in the USA

The Mexican Dream

The population of the United States, according to the U.S. Census Bureau on October 21, 2019, is 329.87 million people. About 45 million of them (13.7%) are immigrants, people born in other countries. At the same time, 10.5 million immigrants (23%) are “unauthorized,” meaning they have no legal reason to be in the United States.

The main supplier of immigrants to America is Mexico (Mexicans make up a quarter of all immigrants), followed by China (6%), India (6%), the Philippines (5%) and the Republic of El Salvador (3%), according to a study by the American Pew Research Center. The majority of immigrants live in California (24%), Texas (11%) and New York (10%).

The US Census study provides another figure — the average income of an American household in 2018 was $61,937. This exceeded not only the indicator of 2017 (by 0.8%), but also the pre-crisis 2007. The indicator differs for different races. For example, the average income of Hispanic households is $51,404, while Asian households already account for $87,243 (the highest figure among ethnic groups). Who will share this piece of cake?

Treasurers for immigrants

Fintech company Stilt interviewed 3,000 American immigrants in 2018 and found out where they keep their money. The survey showed that 82.6% of them trust the following banks: Bank of America (more than a third of them), Chase, Wells Fargo, PNC Bank, Citi. The rest of the immigrants have accounts with 64 other banks and credit unions. At the same time, the vast majority — 94.7% — are serviced in one bank, only 5% of immigrants have a second bank account.

It is noteworthy that among the five largest national banks there is one local — PNC Bank with headquarters in Pittsburgh, Pennsylvania. It operates only in 19 states of the country, mainly on the East Coast. Its products are popular among students, as well as those who appreciate the benefits of online banking.

As for Bank Of America, the leader among the immigrant community, its reputation is now tarnished. At the end of the summer of 2018, the American media and Internet forums were flooded with reports that the bank began requesting additional confirmation from its customers of their legal presence in the United States. The accounts of the bank’s customers who were unable to provide documents were frozen. Additional checks also affected immigrants with a second passport issued by countries under US sanctions.