# Liquidation ## How much is the liquidation bonus/penalty? The liquidation bonus (or penalty for borrowers) depends on the collateral asset. Example: Alice deposits 100 TEZ and borrows 500 tzUSD. The Health Factor drops below 1 and its loan is liquidated. A liquidator can repay up to 50% of a single borrowed amount = 250 tzUSD. In return, the liquidator can claim single collateral which is TEZ ( for example, with a 5% bonus). The liquidator claims 50 TEZ + 2.5 TEZ for repaying 250 tzUSD. Pay attention: you need to take into account Tezos fees. Can I participate in the liquidations? Each user can take part in the liquidation. However, there are a lot of people who want to close someone else's loan, and liquidators have to develop their own solutions in order to liquidate loans and receive bonuses first. --- # 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://yupana-finance.gitbook.io/yupana-document-portal/liquidation.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.