How is the interest paid in case of positive Aave APY on the balance of our borrows and loans?

Question

If we have a positive Aave APY on the balance of our borrows and loans - how is the interest paid? Daily? And is it in the coin collateralised? Or how? I couldn't find this spelled out in the docs. Thanks so much!

Answer

borrow is risky

Answer

Basically the Aave interest rates are being cummulated in each asset you have borrowed, and its auto compounding

How is the interest paid in case of positive Aave APY on the balance of our borrows and loans?

Answers 2