The student loan comparison site Credible has closed a $10m Series A fundraise.
Credible is a multi-lender student loan marketplace, one which allows students to field competitive loans offers from a vetted range of traditional and non-traditional funding providers. The platform caters to those looking for a loan, and to those looking to refinance existing debt. Familiar names on the Credible roster include CommonBond, Pave and LendKey. 72,872 students have received funding via the platform to date. The Credible platform has also been adopted by a number of prestigious institutions, including the American Medical Association, the American Pharmacists Association and Georgia Tech Alumni Association.
The closing of the $10m fundraise marks the next phase in Credible’s evolution. The round has been led by Soul Htite, Founder and CEO of Dianrong.com, which is one of China’s largest peer-to-peer lenders. Soul is also a Co-Founder of LendingClub. Ron Suber, President of Prosper, and “online lending pioneer” Scott Langmack also participated in the Credible Series A.
Credible has ambitious plans for deploying the $10m. Company representatives have intimated that the platform may look to expand into new product fields, seeking out new ways to “further empower consumers to take control of their financial decisions”. Credible will also seek to expand its partnerships, both with new lenders and new membership organisations. The broad focus is and will continue to centre on delivering “fair and unbiased” solutions to consumers. In the same way that the student lender SoFi initially focused exclusively on refinancing student debt, before branching out into other products like mortgages, Credible will soon look to tailor solutions for a fuller range of “major financial decisions”.
“We’re building Credible for the future of online lending - providing borrowers with choice, better information, and simplicity of process. Simply put, we are making student loans more fair. In Soul, Ron and Scott, we have three of the most experienced individuals in online lending which will allow us to accelerate our growth.”
Soul Htite, lead investor in the Series A, also weighed in:
“The speed of innovation occurring in financial services has created a once in a generation opportunity. Credible’s unique model is fundamentally changing the dynamics of the loan selection process. We see Credible as a core fixture of the next phase of online lending.”