College Ave Student Loans, an online lender in Wilmington, Del., announced Thursday that it has raised $20 million in equity financing.
The funding was provided by Comcast Ventures, Fenway Summer Ventures, DW Partners, and numerous individual investors, including former SLM Corp. Chief Executive Officer Al Lord, the firm said in a press release.
College Ave, which was founded in August 2014, offers credit to undergraduates and graduate students.
Whereas numerous online lenders, including Social Finance Inc., refinance existing student loans, College Ave specializes in loans to students while they are still in school.
Fixed-rate loans to undergraduates have annual percentage rates between 4.99% and 11.24%, according to the company's website. Fixed-rate loans to grad students have APRs of 6.35%.
College Ave was co-founded by Joe DePaulo and Tim Staley, both former executives at the private student lender SLM Corp., also known as Sallie Mae.
College Ave has now raised more than $40 million in equity, the press release stated.