The Credit Line feature has become a familiar solution to help users optimize their investment capital. Instead of selling assets early for capital and missing out on profitable opportunities, users can get loans quickly by using their digital assets as collateral through the Credit Line feature. Basic Guide 06 will explain and guide you through the simplest steps to start experiencing the Credit Line feature.
What is Credit Line?
The essence of creating a Credit Line loan is: Through you mortgaging a number of digital assets you are holding, the system will provide (disburse) you an amount of VNDC or USDT equivalent to the loan limit for you. permission of the mortgaged property.
For example, currently ONUS token is a digital asset that allows collateral with the highest limit (60%). When you mortgage ONUS to borrow VNDC, you will receive VNDC equivalent to 60% of the value of the mortgage ONUS amount.
Benefits of using Credit Line
A ticket is a support request that helps you record information about the problem you are facing and send it to the ONUS Customer Service team for resolution. Sending a ticket ensures security, saves time and allows you to track the status of problem resolution using the ticket code.
You can submit tickets right on the app: On the main, choose Settings, scroll down to “Others” and select “Help Center”. Here, you click Create Ticket and fill in the information, including the title (the problem you are having), a description, and attach an image (optional) for the support team to review quickly.
The process with Credit Line
- You mortgage digital assets to create a loan. That way you have more capital without selling the tokens you are holding.
- You use the capital to reinvest as needed.
- Loan interest is automatically deducted by the system according to the interest payment cycle you choose, at the rate of 0.006%/day (24%/year).
- You pay off the loan to get back the collateral.
Notes when using Credit Line
When the market fluctuates causing the loan value to be greater than or equal to 95% of the total value of the collateral, the system will automatically convert the collateral into VNDC and settle the loan.
If the user settles a smaller amount of assets than the loan, the remaining balance will be created as a new loan. Users only have to pay daily interest based on this new loan.
The system will automatically collect periodic interest according to the cycle selected by the user. If the available balance is not enough to pay interest on the loan, the system will automatically calculate that interest on the customer’s debt.
Watch next: Basic Guide 07: Benefits for ONUS tokens holders.
