The San Francisco-based startup Social Finance, which arranges college loan and mortgage refinancing for low-risk borrowers, has raised $80 million led by the hedge fund Discovery Capital Management. Eventually, SoFi hopes to provide an alternative to traditional banks. It’s now doing about $80 million worth of loan refinancing per month, with the money coming from alumni as well as other investors. With about 5,000 borrowers, SoFi has had no defaults so far.
This article originally appeared on Recode.net.