# Auctions

## Auctions

<figure><img src="https://3785528601-files.gitbook.io/~/files/v0/b/gitbook-x-prod.appspot.com/o/spaces%2FtA3eJ3o6BqDtyezMWGSA%2Fuploads%2FGbCXRlL6wT5RiRWtdNjv%2Fimage.png?alt=media&#x26;token=b9316e42-2b22-4b92-8a1b-8dd138a42c40" alt=""><figcaption><p>Auctions on AlpacaFi</p></figcaption></figure>

{% hint style="info" %}
3% fee is taken on both bid and collateral at Auction completion.
{% endhint %}

### Instant Redeem

The person who accepts the loan and takes the risk can also liquidate a user and instant redeem a loan if they would rather would just have the collateral.

{% hint style="info" %}
This must be done before a bid is placed.
{% endhint %}