Out of this, Rs 50 crore will be for domestic short-term courses offered by various ed-tech players and coaching institutes. The Delhi-based, digital-first company has already partnered companies including Great learning and various IAS institutions to offer interest-free education loans to prospective students wanting to pursue short-term courses.
“Till now, we have disbursed more than Rs1000 crore in total. The NBFC license will allow us to design new loan solutions that meet the customers’ needs. We have extended loan offers to nearly 3,000 students in the last six months, partnering with more than 350 institutions in India. It is revolutionary in terms of its varied features like – instant loan approval, no-cost EMIs, disbursal in 24 hours, and the option to customise the loan product for the institute,” said Ankit Mehra, founder at GyanDhan
Until now Gyandan has sanctioned loans worth Rs 200 crore in FY22, including both domestic and abroad education loans.
The demand for financing for such programs grew significantly in the pandemic, aided by the boom in the ed-tech sector. GyanDhan partnered with schools, colleges, ed-tech platforms, and IAS coaching institutions to offer interest-free loans to prospective students in a market where traditional lenders are reluctant to offer loans due to their perception of risk.
The company said the data it is collecting will help further refine its model, increasing access to funding options for more students while bringing down the cost for the end consumer.