How To Modify Loans

Borrowers can modify their loans by adjusting both the collateral and loan amounts. One transaction increases both, while another decreases both.

Step 1: Connect your wallet

Step 2: Select the loan you want to modify.

• On the screen, click on the “Borrow APR” of the asset you want to modify.

• Select "Modify Loan" on Danogo Float.

Step 3: Update collateral

• Increase Collateral: You can increase the current collateral amount or add a new type of collateral (note that a maximum of 3 types of collateral can be selected).

• Decrease Collateral: You can reduce the collateral amount or completely withdraw one type of collateral. When withdrawing collateral from the loan, you can choose to receive it in one of three token types: the original token, qToken, or dToken.

Step 4: Update the Borrow amount

• Increase or decrease the borrow amount by adjusting the current loan value.

Step 5: Review the loan

• The system automatically calculates the Health Factor (HF) based on the entered collateral amount and borrow amount. Make sure HF > 1 to successfully modify the loan.

Step 6: Confirm & Sign