# Fees ## **Borrow APR** Solend charges an interest rate for borrowing assets. The borrow APR is set algorithmically, a function of utilization of the pool. The following piecewise function is used: ![](/files/G4dJHt4p4CBT8TOCEwOA) Which then produces the following graph: ![](/files/yBIP6GkFCwOX3szbMCNs) ## **Protocol Fees** ### **Interest Rate Spread** Interest rate spread is a percentage of the borrow interest rate that Solend receives as protocol revenue. The interest spread is 20%. ### **Origination Fee** Origination fee is a fee charged upon the origination of a loan. Applied once when borrowed, upfront. Solend's origination fees are broken down into a program fee and host fee. The host fee can be collected by any interface that refers loans to the protocol. The fees for most vaults are set to 10 bips (0.1%). There's an 80/20 split between protocol and host fee. Check in-app or on the [Broken mention](broken://pages/-MfR1AEZhIRJC3yBzp2L) a page for specific asset rates. ### **Liquidation Fee** Liquidation fee is a percentage of the liquidation penalty that Solend receives. These funds go to the DAO treasury. The liquidation fee is currently 30% of the liquidation penalty. ## Solana Network Fees There are two types of fees you pay on the Solana blockchain when transacting: [transaction fees](https://docs.solana.com/transaction_fees) and [rent fees](https://docs.solana.com/implemented-proposals/rent). #### Transaction fees These fees compensate the validator network for the CPU/GPU and network resources necessary to process the state transaction. Transaction fees are extremely cheap (currently 0.000005 SOL). #### Rent fees These fees compensate the validator network for the memory resources that are required to store state in an account. Accounts which maintain a minimum balance equivalent to 2 years of rent payments are exempt from paying rent. When solend.fi is used, accounts are allocated on behalf of the user and funded with enough SOL to be rent-exempt. This amount can be recuperated later when the account is closed (though this isn't yet implemented on solend.fi). Rent fees can be expensive compared to transaction fees (\~0.01 SOL), but are only paid the first time a user is interacting with Solend. --- # 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.save.finance/protocol/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.