LTV refers to the percentage of your collateral value that you may borrow against.
You will receive a notification if the LTV approaches a critical level (if your LTV goes above 65%), with additional alerts if the loan is nearing liquidation.
A notification will appear on your account dashboard when your collateral is low.
LTVs are managed by our technology and are responsive to real-time market prices - everything is automated so you will want to keep a healthy LTV to avoid liquidation of any of your collateral. To address an LTV imbalance clients will often keep a little extra collateral in their custody account to move into the loan in times of volatility.
You will be able to monitor the LTV of your loan via the Loan Dashboard via your Abra account. Additionally, you will get alerts when your LTV is unhealthy.
How is the LTV ratio managed during the loan term?
Please note, the photos above are an example only.
Comments
0 comments
Article is closed for comments.