Trump Administration Finds Backlash Over Credit Score Usage for Immigrants
The Department of Homeland Security announced that they will soon begin to use credit scores as part of a wider immigration application to ensure immigrants do not become a public charge; the financial services industry hit back hard at the idea that credit scores would be a good indicator for whether or not someone would become a public charge; “It’s an absurd idea. … Many immigrants don’t have a credit history,” said Chi Chi Wu, a staff attorney at the National Consumer Law Center, to American Banker. “Credit reports and credit scores, especially credit scores, aren’t designed for these purposes. They are designed to predict whether someone will be late on a loan.”; the move is seen as another way for the administration to limit the amount of people who are coming into the country; the other issue with the way the rule was written is it requires the applicant to provide the information, which in most cases won’t be possible. Source.