Leap Finance raises $100 Mn debt from HSBC

Leap Finance, the student lending arm of the end-to-end study-abroad platform Leap, has announced a $100 million debt facility from HSBC under its ASEAN Growth Fund.

This announcement follows Leap's $65 million Series E equity raise led by Apis Partners in January. Since its inception, Leap has raised over $400 million in equity and debt.

With the fresh funding, Leap Finance will extend services to more U.S. states, expand university partnerships, and strengthen its presence in India, its primary market. According to the company, exploring new countries will further diversify its student base.

Leap, which operates LeapScholar, LeapFinance, GeeBee, and Yocket, runs an online community for study-abroad aspirants. It offers a range of services, including test preparation (IELTS, TOEFL, SAT), admissions and visa counseling, and financial support such as international student loans.

Unlike traditional bank offerings, these loans are based on a student’s future earning potential.

Leap primarily focuses on institutions in the U.S., Canada, the U.K., and Australia. It claims to have served over 1 million students and partnered with more than 1,000 top educational institutions worldwide.

To date, Leap Finance has funded over $250 million in education loans for more than 5,000 students. According to co-founder Vaibhav Singh, the average loan amount is around $50,000, enabling the company to support more than 2,000 students with this funding.

The Bengaluru- and San Francisco-based startup claims to have experienced 5x growth since its Series D round three years ago.