# Borrowing Borrowers provide collateral worth more than what they are asking to borrow, to incentivize them to pay back the debt. The borrow rate (e.g. interest paid to borrow) depends on the utilization rate for each asset, and increases as utilization increases too. The utilization rate is the percentage of the asset's pool that has been borrowed already. To note that borrower assets keep earning yield while deposited, which helps borrowers offset interest paid to lenders. As time goes on, the interest due on a particular position increases and so, the health factor associated with that position decreases. Although borrowers can theoretically maintain their position for an undefined amount of time, their decreasing health factor can result in a liquidation. Borrowers are encouraged to monitor their positions to avoid liquidations, which happen when the borrower's health factor goes under a certain level. To avoid this, borrowers can either repay the loan or deposit more assets to increase their health factor. See how health factor is calculated [here](https://docs.aave.com/risk/asset-risk/risk-parameters#health-factor). --- # 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.mysticfinance.xyz/core-concepts/borrowing.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.