New investment latest good news for CommonBond

CommonBond founder and CEO David Klein.

CommonBond founder and CEO David Klein.

It’s tough to fit a big financial injection onto its business cards, but that’s what CommonBond could be doing today.

The New York-city based student loan marketplace lender will add $35-million to its bottom line, said CEO and co-founder David Klein, thanks to “investors who share our vision.”

The Series B funding is courtesy August Capital and Nyca Partners, along with existing investors. Klein, in a release, called them “some of the best investors in fintech today.”

CommonBond will now grow its team and expand nationally as it continues to do business in a forgotten segment of the marketplace.

“We look forward to supporting the company as it continues to scale,” said Tripp Jones, a partner at August Capital who has joined CommonBond’s board.

Students — and their parents — should know CommonBond says it plans to advance more than $500-million in loans by the end of 2015 and expects to beat $1-billion in loans next year.

That’s good news for qualified investors too, who buy loans directly from CommonBond’s first-of-its-kind Investor Marketplace online.

“It’s clear to everyone that there is lots of room for innovation and improved customer experience in student lending,” noted Hans Morris, a managing partner at Nyca and a board member at Lending Club.

It’s another bullet point in a newsworthy year for CommonBond, which relies on technology and customer service, an investment-grade credit rating, and new CFO Morgan Edwards to do its business.

Not bad for a lending platform started by three Wharton MBAs with backgrounds in financial services that saves borrowers more than $14,000 on average over the life of their loans.

Free newsletter signup
Never miss another Bankless Times news story as we send you hand-picked articles every morning
We hate spam. Your email address will not be sold or shared with anyone else. You will only receive our daily newsletter. You can unsubscribe at any time.

Leave A Comment

You must be logged in to post a comment.