A dream character (often abbreviated to DC) is quite simply a character in a dream, human or otherwise, that are representations of the self. Often, dream characters take the form of people well-known to the dreamer, such as family members, friends, pets or celebrities. These characters mirror the personality of the dreamer.
Dream characters are, just like any other object in a dream, manifestations of the dreamer's personality. Their behaviour can be remarkably similar to their real life counterpart and is often drawn from the dreamer's waking life experiences. That said, they can and often do behave oddly and inappropriately, talk incoherently, or ignore the dreamer when asked questions. This may be used as a dream sign. However false they are, dream characters are a little touchy on their fabrications and upon the onset of lucidity often deny the fact that the dreamer is dreaming and that they aren't real, and are known to lash out at the prospect.
Dream characters range from mindless to very intelligent, based on what purpose they serve. When they speak, often it is grammatically correct, but doesn't make a lot of sense. Some report that during conversations they seem to string together true but unrelated facts, and can be frustrating to deal with. DCs can often be annoying, blocking entrance to someplace or not giving you the right answers. Sometimes, though, they are very intelligent and can reveal a lot about the plot of a dream.