# Fees ### **Borrowing** The Lif3 Protocol charges borrowers and lenders two different fees. Every time a borrower takes out a new loan, there is a fixed, one-time borrow cost of 0.1 percent. The interest rate model also predicts the accruing interest on loaned tokens over time. The Lif3 Protocol reserves a portion of the costs (now 10%, ranging from 0% to 20%) paid by borrowers to lenders. ### **Lending (Single-Sided)** Lenders will only pay a 0.5% deposit fee when supplying tokens to an individual lending pool, but they won't have to pay withdrawal fees. * Deposit fee: 0.5% * Withdrawal fee: 0% ### **Liquidations** If their borrow positions are liquidated, borrowers pay liquidators a liquidation incentive (now 4% and ranging from 1% to 5%) on the borrowed amount. These costs are given to the liquidator as symbols of collateral: * 4% liquidation incentive --- # Agent Instructions: 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. Perform an HTTP GET request on the current page URL with the `ask` query parameter: ``` GET https://docs.lif3.com/terrace/fees.md?ask= ``` The question should be specific, self-contained, and written in natural language. The response will contain a direct answer to the question and relevant excerpts and sources from the documentation. Use this mechanism when the answer is not explicitly present in the current page, you need clarification or additional context, or you want to retrieve related documentation sections.