Auxilo Finserve Eyes 25% Rise In Overseas Edu Loans
From April 2024, it disbursed Rs 350 cr in Telangana and Andhra Pradesh; set to add 7 customer touch points in 1 yr, here
Shweta Guru, CBO – Overseas Loans, Auxilo Finserve adressing media, in Hyderabad on Monday
Hyderabad: Mumbai-based Auxilo Finserve, an education finance NBFC, said it has registered a 50 per cent year-on-year growth in overseas education loan from Telangana and Andhra Pradesh over the last three years, and now, aims to achieve a growth of over 25 per cent by adding new customer touch point centres, here.
In both the Telugu States, the size of overseas education loan disbersed by the NBFC is Rs350 crore, and Rs 930 crore across India, in the financial year 2024-25. The overall market size of education loans in India stands at Rs350 billion, of which 65 per cent has been disbursed as over-seas loans in FY24, according to Auxilo Finserve.
“Post Covid, we have witnessed growth in the number of students seeking overseas education. Students usually opt for leading universities in the US, UK, Canada, Ireland, Germany and Australia. Majority of the loan amounts lent are collateral-free and it ranges from Rs35 lakh to Rs65 lakh. The process to sanction loan ideally takes three days, and the repayment tenure is 10 years, with interest rate ranging from 10-13.5 per cent,” Chief Business Officer of Overseas Loans at Auxilo Finserve, Shweta Guru, said.
She further added that to meet the growing demand and to process loans faster, the company will be increasing its customer touch-points across key locations under hub and spoke model. In the two States here, Auxilo Finserve currently has its main office in Hyderabad with customer touch points in Warangal and Vijayawada. The company plans to add its presence in Visakhapat-nam, Nizamabad, Guntur, Kakinada, Rajahmundry and Tirupati.
Citing data, Shweta said that in 2023, over 7.50 lakh students from India travelled to overseas destinations to pursue higher education, wherein 35 per cent of the students came from Telangana and Andhra Pradesh. Till date, Auxilo has provided education loans to over 12,000 students, across more than 1,100 Universities and education institutes in over 25 countries. In July 2024, Auxilo Finserve raised $30 million in its second round of funding from LeapFrog Investments alongwith existing investors such as Trifecta Leaders Fund I and Xponentia Oppor-tunities Fund-II.
