Loan Amounts
Minimum Loan Amount:
$2,000 AUD
Personal Loans:
$2,000 - $250,000 AUD
Commercial Loans:
$2,000 - $500,000 AUD
How Your Loan Amount is Determined:
Your maximum loan amount is calculated based on:
- The current AUD value of your collateral (BTC or ETH)
- A maximum Loan-to-Value Ratio (LVR) of 50%
Example:
If you deposit:
- BTC worth $10,000 AUD → Maximum loan: $5,000 AUD
- ETH worth $50,000 AUD → Maximum loan: $25,000 AUD
- Combined: BTC + ETH worth $100,000 AUD → Maximum loan: $50,000 AUD
Minimum Collateral Required:
To qualify for the minimum $2,000 loan, you must deposit crypto worth at least $4,000 AUD.
Loan Term
Fixed Term: 12 months
All Vield loans have a fixed 12-month term. This applies to both personal and commercial loans.
What this means:
- Your loan runs for exactly 12 months from the date funds are disbursed
- Interest payments are due quarterly (every 3 months)
- Principal and final interest payment are due at the end of 12 months
- You can repay early, but an early repayment fee applies
Interest Rate
Fixed Rate: 13% APR
All Vield loans have a fixed annual percentage rate (APR) of 13%. This rate:
- Applies to both personal and commercial loans
- Is fixed for the entire 12-month term (will not change)
- Is compounded daily
How Interest is Calculated
Daily Compounding:
Interest is calculated daily on your Total Outstanding Balance, which includes:
- Your loan principal
- Any accrued interest
- Any applicable fees
Formula:
Daily Interest = (Total Outstanding Balance × 13% APR) ÷ 365 days
Example:
For a $10,000 loan at 13% APR:
- Quarterly interest (compounding daily): $330.12
- Annual interest: $330.12 × 4 = $1,320.48
Interest Payment Schedule
Quarterly Payments:
You must pay accumulated interest every 3 months:
- 1st payment: Due at 3 months
- 2nd payment: Due at 6 months
- 3rd payment: Due at 9 months
- Final payment: Due at 12 months (final interest + principal)
Missed Payment Consequences:
If you miss a quarterly interest payment:
- You will be charged a late payment fee
- You'll have 30 days to pay down your outstanding interest
- If outstanding interest is not paid, a default notice will be issued and you'll have 30 days to pay down your outstanding loan
- Vield may liquidate a portion of your collateral to cover the outstanding loan
Loan-to-Value Ratio (LVR)
Initial LVR: Up to 50%
Your LVR is the ratio of your total debt (loan + accrued interest + fees) to the current value of your collateral.
Formula:
LVR = (Total Credit + Accrued Interest + Accrued Fees) ÷ Australian Dollar Value of Security Assets × 100
LVR Management:
If your crypto value drops or interest accrues, your LVR increases. You must manage your LVR to avoid default:
- 65% LVR: Warning notification
- 70% LVR: Warning notification
- 75% LVR: Repayment required within 3 business days to bring LVR to 65% or lower
- 85% LVR: Default notice issued, 30 days to repay full outstanding amount
Multiple Loans
Personal Loans:
You may request up to 3 personal loans, with a combined maximum LVR of 50% across all loans.
Commercial Loans:
No specified limit on the number of loans, subject to maintaining a combined maximum LVR of 50%.
Example:
You have $100,000 worth of crypto:
- Loan 1: $20,000
- Loan 2: $15,000
- Loan 3: $15,000
- Total borrowed: $50,000 (50% LVR)
Additional Loans
If your LVR falls below 25% due to an increase in your crypto value, you may request an additional loan (subject to approval) or withdraw a portion of the collateral such that the LVR does not exceed 50%.
Example:
- Original collateral: $50,000, Loan: $25,000 (50% LVR)
- Collateral increases to $120,000
- New LVR: $25,000 ÷ $120,000 = 20.8%
- You can request an additional loan of up to $35,000 (bringing total to $60,000, or 50% of $120,000)
Loan Adjustments
If LVR Exceeds 50% at Funding:
If your crypto value drops significantly between application and funding, Vield may:
- Rescind the agreement and return your collateral, or
- Reduce the loan amount to the nearest $1,000 that results in 50% LVR or lower
Need Help?
Email: support@vield.io
Phone: (02) 9157 9669
