> For the complete documentation index, see [llms.txt](https://docs.pokefi.xyz/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://docs.pokefi.xyz/getting-started/for-borrowers.md). # For Borrowers This page covers everything you need to borrow USDC against a graded Pokémon card on PokeFi. As a borrower you put up a vaulted card as collateral, receive USDC when a lender funds your request, and reclaim full title to the card when you repay. You never have to sell. *** ## Before You Begin You need three things before requesting a loan. ### 1. A Solana Wallet PokeFi is non-custodial. Your wallet is your identity on the platform, and USDC is paid directly to it. Supported wallets: * [Phantom](https://phantom.app) * [Backpack](https://backpack.app) * [Solflare](https://solflare.com) If you are new to Solana, Phantom is the easiest starting point. Create a wallet, store your recovery phrase somewhere safe and offline, and fund it with a small amount of SOL to cover transaction fees, which are typically less than $0.01 each. ### 2. A Graded Card in the Vault Your collateral must be a professionally graded Pokémon card held in the PokeFi vault and represented on-chain as a title token. You can: * **Vault a card you already own** by shipping it to the custody partner. See [Vaulting a Card](/guides/vaulting-a-card.md). * **Use a card you have already vaulted** if you tokenized it previously. Cards must arrive already graded by a recognized authority (PSA, BGS, CGC, or SGC). During beta, collateral is limited to a curated whitelist of liquid, high-population cards that are easy to value and liquidate. ### 3. Verification Because PokeFi is a real-money lending product, borrowers complete identity verification (KYC) before a loan can be funded. You can vault a card and prepare a request beforehand, but funding requires a verified profile. *** ## What You Decide When You Borrow When you request a loan against a vaulted card, you set the terms. A lender either accepts them or does not fund your request. **Principal.** The amount of USDC you want to borrow. PokeFi shows an estimated borrowing range based on the card's [Reference Price](/core-concepts/valuation-and-ltv.md) and the loan-to-value caps for that collateral tier. **Term.** The duration of the loan in days. Interest accrues over the full term, and the loan matures on a fixed date set when it is funded. **Maximum APR.** The highest interest rate you are willing to pay, expressed as an annual percentage rate. A lender can fund your loan at that rate or lower, never higher. Once a lender funds the request, these terms are fixed for the life of the loan. There are no margin calls and no mid-loan liquidations. *** ## How Repayment Works You repay principal plus interest in USDC any time before maturity. The total repayment amount is fixed at origination, so you always know exactly what you owe. * **Repay in full** and the title token is released from escrow back to you. You keep the card. * **Partial repayments** are supported. Your outstanding balance goes down as you pay, and the loan is marked repaid once cumulative repayments cover the total. * **Repay early** and you still owe the full fixed interest for the term, because interest is set at origination rather than accrued per day. See [How a Loan Works](/core-concepts/loan-lifecycle.md) for the full lifecycle. *** ## What Happens if You Do Not Repay If maturity passes without full repayment, the loan defaults. On default, the title token transfers to the lender, who can hold and redeem the physical card or route it to PokeFi's liquidation channel. You lose the card, but you keep the USDC you borrowed, and there is no further claim against you beyond the collateral. This is why the loan-to-value ratio matters. Borrowing conservatively against a card leaves you a larger buffer and a stronger incentive to repay and reclaim an asset worth more than the loan. {% hint style="warning" %} Only put up collateral you are prepared to lose in the worst case. A defaulted loan means the card leaves your ownership permanently. {% endhint %} *** ## Fees PokeFi charges **no fees to borrowers**. The platform takes a cut of the lender's interest instead. You pay Solana network transaction fees when you request a loan and when you repay, which are typically less than $0.01 each. Vaulting and insurance may carry a custody fee, disclosed before you vault. See [Fees and Economics](/reference/fees.md). *** ## Next Steps * [Vaulting a Card](/guides/vaulting-a-card.md): get a graded card into the vault and minted as a title token * [Borrowing Against a Card](/guides/borrowing-against-a-card.md): the full step-by-step loan request guide * [Valuation and LTV](/core-concepts/valuation-and-ltv.md): understand how PokeFi values your card and sets borrowing limits --- # Agent Instructions This documentation is published with GitBook. GitBook is the documentation platform designed so that both humans and AI agents can read, navigate, and reason over technical content effectively. Learn more at gitbook.com. ## Querying This Documentation If you need additional information that is not directly available in this page, you can query the documentation dynamically by asking a question. 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