CommonBond, a New York, NY-based lending platform for student loans, raised $35m in Series B funding.
The round was led by August Capital with participation from Nyca Partners and existing investors. In conjunction with the funding, Tripp Jones, Partner at August Capital, joined CommonBond’s Board of Directors.
The company intends to use the funds to grow its team and scale its operations nationwide.
Led by David Klein, CEO and Co-Founder, CommonBond is a marketplace lending platform for student loans, where qualified investors purchase loans directly. The company, which saves borrowers more than $14,000 on average, over the life of the loan, also follows a “one-for-one” social model: for every degree fully funded on the platform, CommonBond funds the education of a student in need for a full year, through a partnership with Pencils of Promise.
The company is on track to originate more than $500 million in loans by the end of this year and expects to surpass $1 billion in loans funded in 2016.