What are they?
Dream characters are usually recurring characters that you will see in a dream. Quite simple! A dream character can be somebody you know in real life who pops up in a dream, or a completely new person or a stranger. Any entity you interact with in a dream can be considered a dream character, and it can get interesting when they are recurring.
You can talk to dream characters to a very deep level, and while these characters may seem like separate entities, they are an expression of your inner mind; fears, desires. You will often dream about people you know in real life within your dreams; especially if that person is currently significant in your life.