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 couldnt find this spelled out in the docs. Thanks so much!

Aaveator · Answer

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

0xa48c...a1ca · Answer

borrow is risky

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

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