Getting cash by depositing your crypto for everyday needs is easy – you can get a crypto-backed loan at any time fast and safely. Here are answers to the most frequently asked questions about crypto-backed loans and the process of issuing:
1. What is a crypto-backed loan?
A crypto-backed loan is similar to a traditional secured loan, where a borrowed amount of money is expected to be paid for interest. The only difference is that cryptocurrency or other crypto-assets are provided as collateral. The lender can repossess the collateral in the case of default.
2. What are the benefits of crypto-backed loans?
It’s safe, fast, untaxed and available 24/7.
3. What is required to apply for a loan?
You just need to sign-up in the crypto loans platform and verify your identity.
4. Why do I have to provide identification?
As a responsible company, we follow the Anti Money Laundering Law (AML), terrorist financing and other regulations. Identification is part of this important but speedy process.
5. How much can I borrow at HODL Finance?
Loan conditions are subject to change, thus you should always check your loan conditions in the crypto loans portal. At the time of writing this article, the minimum loan amount was $50, while maximum loan – $25,000. Generally, we are working hard that anyone was able to grasp the benefits of crypto-backed loans – from a single mom to a jobs creating business.
6. What types of collateral are accepted?
7. What happens to my crypto-assets that have been taken as collateral?
Collateral is securely stored for the loan duration. Once the loan is returned, the collateral is released.
8. When the loan can be transferred to me?
Depending on the payment method chosen, the money can be transferred to your card the same day. If you choose a transfer to your bank account option, keep in mind that an international bank transfer can take up to 7 business days, an EU payment – up to 1 business day.
9. How is my personal information protected?
We use number IT solutions to ensure the security of your data. It‘s also complied with the laws and the highest standards of security when dealing with personal information of customers, including newly adopted European rules of General Data Protection Regulation or GDPR.
10. Do you have plans for an ICO?
No. The development of HODL Finance has been financed by the shareholders and the management team of the company. ICO is not a funding instrument HODL Finance considers.
HODL Finance is the European digital lending company. HODL Finance issues loans backed by cryptocurrency and other digital assets. Founded by the shareholders of the peer-to-peer lending platform, Savy, HODL Finance now serves clients around the world.