California Invests in Dream Loan Program Created by Senator Ricardo Lara

September 12, 2017

$10 million announced today will aid California students who face elimination of DACA program and other AB 540-eligible students

SACRAMENTO, CA – The California Legislature announced $10 million in funding to help undocumented students pay for college, expanding the Dream Loan program authored by Senator Ricardo Lara (D-Bell Gardens).

Senator Lara created the Dream Loan program with Senate Bill 1210, which Governor Brown signed in 2014. The Dream Loan program made low-interest loans available to students eligible for AB 540, which Senator Lara worked to pass as a legislative staffer for then Assemblymember Marco Firebaugh.

“Funding the Dream Loan gets us another step closer to treating all California university students equally,” said Senator Lara. “President Trump may think he can destroy their dreams by dismantling DACA, but the Legislature will continue to help all students regardless of where they were born, because they are Californians and they represent our future.”

The plan announced today gives an additional $10 million in financial aid for Dreamers:

  • $7 million for California community college students;
  • $2 million for California State University students via the Dream Loan Program;
  • $1 million for University of California students via the Dream Loan Program. 

The Dream Loan program extends low-interest loans of up to $4,000 per year to AB 540-eligible students who are unable to qualify for federal loan programs, up to $20,000 repayable over 10 years. The Dream Loans draw from a revolving fund to achieve self-sufficiency as students repay the loans.

Learn more about the Dream Loan program: http://sd33.senate.ca.gov/news/2014-04-09-senator-lara-announces-california-dream-loan-program

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