Student lending platform Kuhoo Finance has received approval for a non-banking financial company licence from the Reserve Bank of India (RBI).

With the NBFC licence, the platform plans to introduce a suite of new loan products needed by various academic streams, the company said in a statement.

Founded in 2021, Mumbai-based Kuhoo offers educational loans starting Rs 50,000 to up to Rs 2 crore for undergraduate and postgraduate courses, including study abroad financing. It also gives loans for executive education and upskilling programmes.

Over the past two and a half years, it has processed more than 100,000 student applications and facilitated loans worth over Rs 300 crore for 15,000 borrowers.

The company also plans to strengthen its partnerships with educational institutions, banks, and other financial entities.

“Our NBFC status will allow us to play a pivotal role in India's educational landscape, supporting the dreams and aspirations of countless students who might otherwise be unable to pursue higher education due to financial constraints,” said Kuhoo Finance founder and CEO Prashant A Bhonsle.

Kuhoo, which is planning to raise funding to fuel its growth, raised $20 million from WestBridge Capital in its first institutional funding round in March 2022.