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Borrowing Help

6. How Instant Loan works​

Instant Loan is the shortest path from an eligible NFT to an active HBAR loan.

  1. Open My NFTs.
  2. Find an NFT from a supported collection.
  3. Select its Borrow or Instant Loan action.
  4. Review the highest eligible offer.
  5. Confirm the NFT, principal, net amount received, interest, and deadline.
  6. Approve the required wallet transactions.

The NFT moves to CollaFi-controlled escrow and the HBAR proceeds are sent to your account.

Instant Loan is useful when speed matters and the highest offer meets your needs. If you want to compare offers, use manual selection.

7. Select an offer manually​

  1. Open Collections.
  2. Select your NFT's collection.
  3. Open the borrowing flow.
  4. Review the available offers.
  5. Select an NFT and offer.
  6. Review and approve the transaction details.

Offers for one collection share that collection's interest and duration settings. The principal amount is the primary difference between open offers.

Your own lending offers are hidden by default. If you choose to display them for comparison, they remain unavailable for acceptance by the same account.

8. Repay a loan​

  1. Open Portfolio.
  2. Select Borrowing.
  3. Find the active loan.
  4. Select Repay.
  5. Review the principal, interest, and total repayment.
  6. Approve the wallet transaction.

After successful settlement, CollaFi returns the NFT to your wallet. Make sure the account is associated with the NFT's token.

Repay early​

You can repay before the deadline without an additional early-repayment fee. The full agreed interest remains due.

Repay several loans​

Portfolio can provide a bulk repayment action for eligible loans. Collection filtering determines whether the action covers all eligible loans or only loans for the selected collection. Review every included loan and the complete total before approval.

9. If a loan defaults​

If the loan is not repaid before its deadline:

  • Its status changes to defaulted.
  • The lender becomes eligible to claim the NFT.
  • The borrower keeps the original loan proceeds.
  • The borrower loses ownership of the NFT after the lender's claim completes.

Default and claim are irreversible. There is no grace period and no automatic extension.

Reduce default risk​

  • Borrow only an amount you expect to repay within seven days.
  • Monitor Portfolio directly.
  • Repay early where possible.
  • Keep enough HBAR available for principal, interest, and network costs.
  • Do not collateralize an NFT you cannot afford to lose.

Warning: Email, Discord, and other notifications may be delayed or fail. Missing a notification does not extend the deadline.

10. Understand the loan countdown​

Each active loan has its own countdown based on the stored acceptance timestamp and deadline.

  • The countdown continues when you close the website.
  • Maintenance or an unavailable website does not pause the loan.
  • Multiple loans have independent deadlines.
  • At zero, an unpaid loan is eligible to default.

Treat the displayed deadline as strict. If you intend to repay, allow time for wallet approval and Hedera settlement rather than waiting until the final seconds.