Claiming Defaulted Asset

If a borrower fails to repay the agreed-upon amount by the loan's maturity date, lenders have the option to claim the NFT used as collateral. Once the NFT is claimed, the lender forfeits their ability to recover any token repayments from the defaulted loan.

To claim an NFT from a defaulted loan, follow these steps:

Ensure your wallet containing the promissory note from the loan is connected to the NettyWorth protocol.
Go to the "My Loans" section of your dashboard and click on the "Lent" tab.
Scroll through your active loans to find the one associated with the defaulted borrower. The loan's status will indicate it is eligible for claiming.
To the right of the defaulted loan, click the "Claim" button.
Sign the transaction in your wallet to complete the claim process. Once the transaction is complete, the NFT used as collateral will be sent directly to your connected wallet.