Ascent, a San Diego-based student lending platform, announced it has closed a $45 million Series C financing round amid shifting federal loan policies that are driving increased demand for private education financing. The new capital comes as caps on federal student loans push more graduate students and career-focused learners toward private lenders to cover tuition gaps.
The company said the need for private student loans is projected to double to $26 billion over the next three years. Ascent plans to use the funding to expand its leadership team, scale its education financing platform, and enter new education verticals. The round was led by a global asset manager.
Ascent has built a network of partnerships with more than 2,300 institutions and training providers and reported a 30% year-over-year increase in loan originations. Over the past decade, the company has disbursed more than $1.5 billion in education loans to over 168,000 families. Its product suite includes traditional college loans with cosigned and non-cosigned options, as well as outcomes-based financing models.
The company is emphasizing expansion of its Graduate Outcomes Based Loan product, which evaluates borrowers based on expected post-graduation earnings rather than solely on current credit profiles. As federal funding changes make graduate education less accessible, Ascent aims to broaden access through this earnings-focused underwriting approach.
It is also scaling its Aviation Loan Program, designed for aspiring pilots whose training costs can exceed $100,000 and often do not qualify for federal aid. The program assesses borrowers based on projected starting income rather than credit history or the availability of a cosigner. The initiative builds on Ascent’s experience in financing skilled trades, including electrical lineworkers, welders, and healthcare professionals.
In addition, Ascent has introduced a proprietary Graduate School Loan Calculator, a digital tool that allows students and financial aid officers to model the total cost of attendance and compare private and federal loan needs against projected future earnings.
To support its next growth phase, Ascent announced new executive appointments. Ryan Gray has been named Co-President and will oversee Finance, Capital Markets, Credit & Analytics, Technology, Operations, and Human Resources. Tristan Fleming has been appointed Co-President and will lead Sales & Marketing, Product, Impact, and Legal & Compliance.
The company, which employs more than 120 professionals, said it will continue focusing on credit-invisible borrowers and aims to increase borrower income by $10 billion by 2028.
Support: TD Securities served as exclusive placement agent for the Series C financing, and Cooley acted as legal advisor.
KEY QUOTES:
“At Ascent, we’ve always believed that a student’s potential shouldn’t be limited by their current financial circumstances, but rather fueled by their future success. As federal policies shift and traditional funding gaps widen, our mission to offer financing for traditionally overlooked and underserved individuals and families so they can gain access to post-secondary education and build a foundation for durable economic mobility has never been more important. This new capital will allow us to double down on our goals, providing students with the funding they need to invest in their future.”
Ken Ruggiero, Co-Founder and CEO of Ascent Funding
“Ryan Gray and Tristan Fleming have been instrumental to Ascent’s growth for the last 10+ years and are widely respected leaders in education finance. Their new roles position Ascent to accelerate innovation, bring new products to market faster, and respond to the evolving needs of students and schools.”
Ken Ruggiero, Co-Founder and CEO of Ascent Funding
