Loan Repayment
The repayment timeline for a loan on the Moonwell protocol is not fixed. Instead, it depends on the borrower's "Credit Remaining" account balance. To prevent liquidation, the "Credit Remaining" must be maintained above a value of $0. If this condition is not met, a liquidation event will be triggered, leading to the seizure of the borrower's assets for loan repayment.
Loans taken out on the Moonwell protocol have no set repayment time or maturity date. They remain open as long as the "Credit Remaining" of the borrower's account stays above the liquidation threshold.
Although there is no fixed repayment timeline, interest continues to accrue over time. The accrued interest can affect the remaining credit of the borrower's account, potentially decreasing it and putting the borrower's assets at risk of liquidation. The interest rates are determined by the borrowing rate, which is influenced by the supply and demand ratio of the asset.
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- 2.With the "Borrow" modal selected, choose the asset you want to repay from the dropdown menu.
- 3.With the "Repay" modal selected, enter the amount to be repaid.
- 4.Click "Repay"
- 5.Click "Confirm Repay"
- 6.Confirm the transaction in your wallet and wait for its execution. Once successful, you will have repaid the desired amount of the borrowed asset.
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- 2.Locate the "Open Positions" section and click on "Repay" for the desired asset. This will take you to the "Borrow" page.
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- 3.Now on the "Borrow" page and with the "Repay" modal selected, enter the amount to be repaid.
- 4.Click "Repay"
- 5.Click "Confirm Repay"
- 6.Confirm the transaction in your wallet and wait for its execution. Once successful, you will have repaid the desired amount of the borrowed asset.
Last modified 1mo ago