This is a general announcement. The products and services mentioned here may not be available in your area.
Dear members of the Binance community!
The Binance Loans platform is excited to introduce Fixed Rate Loans, giving users more options to borrow and supply stablecoins for loans at predictable rates. This innovative service offers a fixed-term loan at a fixed individual annual interest rate for the entire period, guaranteeing a worry-free and understandable financial experience for both providers and borrowers of funds.
How Binance Fixed Rate Loans Work
To get a fixed rate loan:
Place an order. Click [Place order] > [I want to borrow] to place an order and specify the borrowing details, or click [Borrow] next to the desired order in the borrowing market.
Configure provisioning. Select the appropriate assets from your spot wallet as collateral against the initial loan-to-value ratio requirements.
Confirm the order. Review and confirm the order details and terms and conditions by clicking [Confirm].
Comparison of the order. After matching the order, the borrowed funds minus pre-calculated interest will be transferred to your spot wallet. You can check the status of your order in [My Order] > [Current Order].
Repayment Pay off the loan in full before the due date to avoid late fees.
To lend funds at a fixed rate:
Place an order. Click [Place Order] > [I want to supply] to place an order and provide the details for the provision of funds, or click [Deliver] next to the desired order in the supply market.
Confirm the order. Review and confirm the order details and terms and conditions by clicking [Confirm].
Comparison of the order. When your order is matched, your supply funds will be transferred from your spot wallet and the principal will be secured in Binance for the duration of the order. Profit interest will start to accrue from the moment of matching. You can check the status of your order in [My Order] > [Current Order].
Repayment Within 24 hours after the loan expires, the assets you loaned and the interest will be transferred to your spot wallet. You can check your assets in the spot wallet.
Start using Binance Fixed Rate Loans today!
Binance Loans Products:
For more information, see the guides on Fixed Rate Loans, Flexible Loans and VIP Loans
About Binance Fixed Rate Loans
Binance Fixed Rate Loans aims to create a stable and easy-to-use financial environment, allowing users to customize their interest rate and offering them predictable costs and returns, especially for stablecoin loans. The platform effectively matches the needs of fund providers and borrowers. A fixed rate loan is over-collateralized with the option of using multiple assets to reduce liquidation risk. It also provides an efficient automated process with automatic repayment and automatic renewal capabilities. The managed Binance platform offers a simple and convenient experience for all users.
Notes:
Please read the Terms and Conditions of Use before placing orders on the Binance Fixed Rate Loan Platform.
For the borrower:
After placing a borrowing order, the Borrower's collateral assets will be frozen in his spot wallet and cannot be transferred or sold. If the Borrower wants to unblock them, the Borrower must cancel the order that has not yet been matched. After the order is matched, the collateral assets will be automatically transferred from the Borrower's spot wallet and held by Binance until the loan is fully repaid.
Interest on the loan is accrued in advance when the loan assets are transferred. The actual amount received by the Borrower is the amount of the loan minus pre-calculated interest on the loan. If the Borrower repays the loan early or the loan is liquidated before the expiration date, the amount of Interest on the loan due will remain unchanged and will not be returned to the Borrower.
Borrowers are responsible for monitoring and adjusting their LTV (Loan to Value Ratio). If the Borrower's order reaches the liquidation LTV, the system will immediately perform a forced liquidation. A liquidation fee of 2% of the loan amount will be charged.
Be sure to pay off your loans on time. If the Borrower is unable to repay the loan on the agreed due date, a Late Repayment Fee equal to 3 times the loan interest rate is automatically charged every hour.
For the supplier:
After placing an order for the supply of funds, the relevant assets of the Provider will be frozen in the spot wallet and will not be able to be transferred or sold. If the Provider wishes to unblock them, the Provider must cancel the order that has not yet been matched.
Once the order has been matched, the relevant Provider assets will be transferred from the spot wallet and Binance will protect their principal amount for the duration of the loan. The provider cannot return the borrowed assets before the expiration date or require early repayment.
No interest will accrue until your order is matched. Accumulated profit interest will be distributed along with the return of the assets you provided within 24 hours of the expiration date.
Users can view their orders under "Fixed Rate Loan Orders> Current Orders".
There may be discrepancies in the English translation of this original article. Please refer to the original English version for the latest or most accurate information in case of inconsistencies.
Thank you for your support!
Binance Team
05.09.2024
