ErudiFi raises $5 million Series A to give students in Southeast Asia more education financing options




 

Based in Singapore, ErudiFi wants to help more students in Southeast Asia stay in school by giving them affordable financing options. The startup announced today it has raised a $5 million Series A, co-led by Monk's Hill Ventures and Qualgro.

ErudiFi currently works with more than 50 universities and vocational schools in Indonesia and the Philippines. Co-founder and chief executive officer Naga Tan told TechCrunch that students in those countries have limited financing options, and often rely on friends or family, or informal payday lenders that charge high interest rates.

To provide more accessible financing options, ErudiFi partners with accredited universities and schools to offer subsidized installment plans, using tech to scale up while keeping costs down. Interest rates and repayment terms vary between institutions, but can be as low as 0%, with loans payable in 12 to 24 months.

By providing their students with affordable financing plans, ErudiFi can increase retention rates at schools, helping them keep students who would otherwise be forced to drop out because of financial issues.

Tan said ErudiFi's value proposition for educational institutions is "being able to offer a data-driven financing solution that helps with student recruitment and retention. Students also greatly benefit because our product is one of the few, if not the only, affordable financing option they have access to."

In a press statement, Peng T. Ong, co-founder and managing partner of Monk's Hill Ventures, said, "Access to affordable tertiary education remains a huge pain point in Southeast Asia where the cost is nearly double then the average GDP per capita. ErudiFi is tackling an underserved market that is plagued with high-interest rates by traditional financial institutions and limited reach from peer-to-peer lending companies."

ErudiFi's Series A will be used on hiring for its product and engineering teams and to expand in Indonesia and the Philippines.

COMMENTS

More Related News

Disney
Disney's 'Raya and the Last Dragon' takes audience on an Asian-inspired adventure
  • US
  • 2021-03-03 11:06:52Z

Walt Disney Co's latest animated movie, "Raya and the Last Dragon," aims to offer a fresh take on a princess tale in a fantasy world inspired by Southeast...

Indonesian payments infra startup Xendit raises $64.6M in Accel-led Series B
Indonesian payments infra startup Xendit raises $64.6M in Accel-led Series B

Fueled by the COVID-19 pandemic, digital transformation is happening all over the world. Indonesia's Xendit, a startup focused on building digital payments infrastructure for the region, has just raised $64.6 million in a Series B led by Silicon Valley heavyweight Accel. Notably, Y Combinator also participated in the financing.

Sea
Sea's Sales Double as Asian Shoppers Go Online During Pandemic

(Bloomberg) -- Sea Ltd. expects e-commerce revenue to double in 2021, sustaining its torrid pace of growth as Southeast Asia's most valuable company counts...

New test results show what many feared: NC students aren
New test results show what many feared: NC students aren't doing well during pandemic

The majority of North Carolina high school students failed state end-of-course exams in the fall semester.

Philippines launches virus vaccinations amid supply problems
Philippines launches virus vaccinations amid supply problems
  • US
  • 2021-03-01 02:28:37Z

The Philippines launched a vaccination campaign Monday to contain one of Southeast Asia's worst coronavirus outbreaks but faces supply problems and public...

Leave a Comment

Your email address will not be published. Required fields are marked with *

Cancel reply

Comments

Top News: Economy