Illegal Credit for Undocumented Immigrants

Illegal immigration is a crime in the United States of America. Every year, the Border Patrol makes at least one million apprehensions of individuals that blatantly violent the immigration laws of the nation by crossing the United States borders unlawfully in order to work or to enjoy the benefits of free public services. Very often, the illegal immigrants arrive with false documentation. According to the law, their entry into the U. S. is a misdemeanor.

Moreover, if an individual makes an unlawful entry twice or more times, it is treated as a felony (Illegal Immigration, 2006). Still, there remain around 10 to 20 million illegal immigrants in the United States today. There are approximately 12 to 15 million jobs held by these people. In other words, illegal immigrants represent around 8 percent of the U. S. work force today. Between 4 to 6 million jobs held by illegal immigrants are serving the “underground economy. ”  The United States is foregoing around $35 billion each year in income tax collections because of such jobs.

What is more, the United States does not seem to be taking very strict action against the illegal immigrants and their methods of employments because it “is simply hooked on cheap, illegal workers and deferring the costs of providing public services to these quasi-Americans” (Justich and Ng). Apart from those that enter the United States illegally and therefore cannot be documented by law for legal entry, there are people that overstay their authorized terms of stay and still others that violate terms on which they had been admitted into the country by taking up jobs.

In the year 1996, the INS estimated that sixty percent of the undocumented immigrants were illegal entrants, while the remaining were those that had overstayed the authorized periods of stay. All of these types of illegal immigrants can be deported under the Immigration and Nationality which states: “Any alien who is present in the United States in violation of this Act or any other law of the United States is deportable" (Illegal Immigration).

Yet, the illegal immigrants are contributing tremendously to the economy of the United States. These people often take up less-skilled jobs, and their wages are lower than those of the U. S-born laborers (McCarthy and Vernez, 1997). What is more, studies have shown that when the United States tightens border control, thereby making it more difficult than before for illegal immigrants to enter the nation, the economic growth of the nation turns into economic sluggishness. As an example, a drop in the number of illegal immigrants from Mexico in early 2001 coincided with the onset of a recession in March 2001 (Orrenius, 2003).

It is because of their importance to the United States economy that the banking industry is known to be “opening its doors to a controversial new market” – that of illegal immigrants. 10 to 20 million undocumented aliens are a huge market for banks to tap into for increases in revenues. Moreover, the United States economy is meant to grow even further because of the new task that the banking industry has set out to perform – that of making life easier for undocumented aliens by offering them credit.

Regardless of the fact that these individuals are breaking the immigration laws of the nation, the Bank of America has introduced its “new no citizenship required credit card” (Kendall, 2007). The bank is not apologetic for this. According to a report: A Bank of America spokesman says, “The credit cards are not aimed specifically at illegal immigrants, but instead people who lack solid credit histories.

lending industry is now stretching standards to the same they were at in 2005 when the mortgage industry scraped the bottom of the credit barrel. There is one difference from housing in 2005, however; the new credit card program is generating a stiff backlash from anti-immigration groups. “"It helps to further embed illegal immigrants into American society," says research director for the Center for Immigration Studies in Washington, which backs stricter enforcement of immigration laws.

“It makes amnesty a fait accompli. "  Said one Congressman: “I hope the administration will shut down this reckless and illegal program before Bank of America extends a line of credit to a potential terrorist. ”   The response betrays a deepening animosity toward outsiders, and thus a more developed downturn in the overall social mood. As the housing situation demonstrated, however, the administration won’t have to take any action. The markets will end these instruments on their own (Kendall).