> For the complete documentation index, see [llms.txt](https://docs.dano.finance/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://docs.dano.finance/how-to-use/guides/flexible-pool-lending/how-to-create-floating-interest-rate-loans.md).

# How to Create Floating Interest Rate Loans

### Step 1: Connect your wallet

### Step 2: Choose a token to borrow

* On the [screen](https://preview.danogo.io/yield-aggregator), click on the “Borrow APR” of the asset you want to borrow.<br>

![](https://lh7-rt.googleusercontent.com/docsz/AD_4nXcUTvFKscNeRPn13ZxKgNZEdS58rZEMBmHUya9WTTBiyihq1-xXPtQw456D9tT4CIttsVFKANdtLNcODwoTJ1C7CrHFbpfpGvnPErb87oCV0cD0Vjs-2Mld1V_3j-JGUc5qii9E?key=uUZN19F4shulBnjhlrulQA)<br>

* Select "Borrow" in Danogo Float

![](https://lh7-rt.googleusercontent.com/docsz/AD_4nXea7CsOlnRCX8W3K9q8UbxFG8oOoNB4YgnuvSqInyI1eVNcfeIFeYGUBmajYcHugFCTNVEcaxQCaLVvrDzN6i8VwDvgJcy453GMXK3q3_pEe9iMLfc3vlqx-rgB_fzD_dYhJ9I?key=uUZN19F4shulBnjhlrulQA)

### Step 3: Select and enter the collateral

* Choose collateral from the list of allowed tokens in your wallet. You can use up to a maximum of three types of collateral for each loan.

![](https://lh7-rt.googleusercontent.com/docsz/AD_4nXfALFMlPOwURlqCC6dv3suyoKkRuixTZCaKCaU-2H1OpC1BcL7LIVPF5PpFXeuH9PbPju6KbBMHZL5xLOf4VKPDVzcrzcqJkMuGNpfglZP8Z1JCwJV2pHg6d-8mTOHTK_dhJICF?key=uUZN19F4shulBnjhlrulQA)<br>

* Enter collateral amount

![](https://lh7-rt.googleusercontent.com/docsz/AD_4nXeOgHaf7xjWhp8eaV9O476HawyBZxWR84MRB0BFnYzxbyq9GEGtvR3AcLzR-9Hxbkrn4Fwr6DpPFgYQvOidfJoHQFTc8lT-QIlvbpno-GK3mXvHz4JiOdorHzbwXiieVPJLIUJn?key=uUZN19F4shulBnjhlrulQA)

### Step 4: Supply collateral to earn interest. (If you do not choose to supply collateral, skip this step.)

* Check the “Supply collateral to earn interest” checkbox if you want to earn interest from your collateral. Make sure the entered collateral amount is at least the minimum required for a successful supply.<br>

![](https://lh7-rt.googleusercontent.com/docsz/AD_4nXdQXnBS8E3lbPK0witUtVBJlhYm2I_vPQbLRG3jwojPeQpSRooeUecvmJe4oXuwMwUTOPA8GKo4B--LCz78u6KyuLCGFe7wbZlkF_3J0UcoEhAGrMLBwjK83vw_n_Fzh2FhEFXj?key=uUZN19F4shulBnjhlrulQA)

### Step 5: Enter the borrowed amount

* Enter the desired loan amount. The maximum borrowable asset amount is calculated based on the collateral entered above.

![](https://lh7-rt.googleusercontent.com/docsz/AD_4nXdtOfnMQI24iQC1MT0cUIRa2Kzv6MWrWoJTANPTAtqJhBfqm2Pr-f_mQvL4PoSZtOVNkhFE77bISYVuNt3XC-m6R8itwqTiTHVpGeenSUtlHFeFy-N29NZeK_psBdVicij1rYSI?key=uUZN19F4shulBnjhlrulQA)

### Step 6: Review the loan

* The system automatically calculates the Health Factor (HF) based on the entered collateral amount and borrow amount. Make sure HF > 1 to successfully create a loan.

![](https://lh7-rt.googleusercontent.com/docsz/AD_4nXcD2Ro77TTlHkZcenqKtq25CgCcow1ut3k_U5-4RwoKPucJwo9lxd9_cCbMdjV41__MTMiRAiqFWtHPHjlHVJ3uzJ5MoLGOySjBUuhUJjtkca5gj78b54o9JAWuHrn9UG0xfYE?key=uUZN19F4shulBnjhlrulQA)

### Step 7: Confirm & Sign