Can a Loan Change a Life? GyanDhan's ₹50 Cr Bet on India’s Aspirational Youth

In a country where dreams often outpace access, one startup is quietly building the financial bridge between ambition and achievement.

GyanDhan, India’s pioneering education financing platform, has raised ₹50 crore in Series A funding from Classplus, one of the country’s fastest-growing edtech companies, and Pravega Ventures, a venture capital firm known for backing high-potential startups. But beyond the numbers and names, this funding round is a powerful nod to a deeper mission — to democratize education for millions of Indian students, especially in the heartland towns where ambition often collides with affordability.

From IIT Dreams to Financing Realities

GyanDhan was founded by Ankit Mehra (IIT Kanpur) and Jainesh Sinha (IIT Delhi) with a singular vision: to make higher education, whether in India or abroad, more accessible, transparent, and affordable. Over the years, the company has quietly grown to become India’s first education loan marketplace, bringing together banks, NBFCs, students, and education consultants on a unified tech platform.

With ₹7,000 crore (~$840 million) worth of education loans already facilitated, GyanDhan is now gearing up for a much bigger play. The fresh capital infusion will help the company take its services deeper into Tier 2 and Tier 3 cities, double its banking partners, and significantly expand its consultant partner network.

“This fundraise is more than just capital—it's a strong vote of confidence in our mission to democratize access to education,” said Ankit Mehra, Co-founder and CEO of GyanDhan.
“We’ve seen firsthand how the right financial support can change the trajectory of a student’s life. With this backing, we’re doubling down on building the infrastructure and technology that will unlock educational opportunities for millions of families across India.”

A Plan to Scale—and Scale Right

With a growing team and ambitious goals, GyanDhan plans to:

• Expand to over 50 Tier 2 and Tier 3 cities, where access to quality education financing remains limited

• Double its banking and NBFC partners from 15 to 30, offering more options to students

• Grow its tech, credit, and sales teams, enhancing its regional reach and service delivery

• Deepen its consultant partner network that already includes over 100 players

• Invest in financial literacy initiatives, including seminars and student workshops across India

What’s most notable is the company’s dual model: a marketplace approach blended with its own NBFC lending arm. This enables GyanDhan not just to connect students with loans, but also offer tailored financing options when the system falls short.

Investor Faith in a High-Stakes Sector

For Classplus, which has already digitized thousands of coaching institutes across India, the investment aligns with its mission of enabling educational access beyond metros.

“We love resilient founders, and the GyanDhan team has displayed the DNA of surviving in a tough but massive TAM (Total Addressable Market),” said Mukul Rustagi, Co-founder and CEO of Classplus.
“Education financing will be a strong pillar of the evolving India, and we are glad to be a part of this journey.”

Pravega Ventures echoed a similar belief in the startup’s dual strategy of SaaS-driven scale and NBFC precision.

“Education financing in India sits at a powerful intersection of fintech innovation and social impact,” said a spokesperson for Pravega Ventures.
“GyanDhan’s marketplace model, paired with focused NBFC lending, demonstrates exceptional market understanding. We're backing them to become the definitive gateway for education financing in India.”

A Market Ripe for Disruption

India is witnessing a curious paradox. While demand for higher education—especially international studies—is surging, loan penetration remains woefully low at under 20%, compared to over 45% in countries like the US.

Add to that the fragmented landscape of financing options, lack of transparency, and cumbersome processes, and it becomes clear why many students struggle to secure the funding they need—even when they're eligible.

Moreover, rising education costs, both in India and abroad, are exerting pressure on middle-class families, making the need for streamlined, trustworthy financing solutions more urgent than ever.

Looking Ahead: ₹18,000 Crore in Loan Origination by 2028

With this round, GyanDhan aims to triple its total loan originations to ₹18,000 crore (~$2.1 billion) over the next three years. It also plans to venture into executive education and upskilling loans, tapping into India’s growing appetite for lifelong learning.

Through its SaaS platform for education consultants, community-focused outreach, and increasing physical footprint, GyanDhan is creating a financing ecosystem that serves both ambition and geography.

GyanDhan – At a Glance

• Founded by: Ankit Mehra & Jainesh Sinha, IIT alumni

• Model: Hybrid (Marketplace + NBFC)

• Total Loans Originated: ₹7,000 Cr (~$840M)

• Partnered Institutions: 15+ including SBI, ICICI, Credila

• Consultant Network: 100+ education consultants

• Current Reach: 30 cities, expanding to 50+ soon

As India stands on the cusp of a digital and educational revolution, startups like GyanDhan are proving that access, powered by intent and innovation, can be the true leveller. Because for millions of young Indians, it’s not just about getting a loan—it’s about getting a shot at a better life.