How Monthly Interest Payouts Work on 8lends

Invest 1,000 USDC at 22% and collect roughly 18.3 USDC every month, plus your full principal at term end. Here is how the bullet payment math adds up.

8lends uses a bullet repayment model: interest is paid out monthly or weekly, depending on the stage settings. The loan principal is returned in a single payment at the end of the term. The first interest payout arrives one month after the pool closes. The smart contract automatically distributes interest among investors in proportion to their shares. Accrued interest can be withdrawn at any time via claim or left on the contract. The rate is fixed — 19–25% annually in USDC for the entire loan term.

What a bullet payment is

Bullet payment is a repayment model where, throughout the loan term, the borrower pays only interest and returns the principal in a single payment at the end.

This differs from the annuity model (as in most bank loans), where each payment includes both interest and a portion of the principal. On 8lends:

Each month — the investor receives interest
At the end of the term — the investor receives the entire loan principal back + the final interest payout

For the investor, this means a stable monthly cash flow throughout the entire term and the return of the full principal at the finish.

How it works step by step

Step 1. Pool closing — accrual starts

When the pool collects its target amount, the project moves to the Funded status, the funds go to the borrower, and the interest accrual period begins.

Step 2. The first payout — after one month or one week

Depending on the stage settings, the first interest payout arrives either one month or one week after the pool closes. The borrower transfers the interest to the smart contract, which distributes it among investors in proportion to their shares.

Step 3. Monthly payouts

Each subsequent month, the borrower transfers the interest, and the contract distributes it. The investor sees the accrued interest in their personal account.

Step 4. Final payout — principal + final interest

At the end of the loan term, the borrower returns the principal in a single payment. Together with the final interest payout, the investor receives the principal back. The project moves to the Repaid status.

Calculation example

An investor invested 1,000 USDC in a project with a 22% annual rate and a 12-month term:

Annual interest: 1,000 × 22% = 220 USDC per year
Monthly interest payout: 220 ÷ 12 ≈ 18.3 USDC per month
Each month (from the 1st to the 12th), the investor receives ≈18.3 USDC
At the end of the 12th month, the principal is additionally returned: 1,000 USDC
Total for the year: 220 USDC in interest + 1,000 USDC in principal = 1,220 USDC

The exact amounts and schedule are shown on the project card and in your personal account.

How to receive accrued interest

The interest distributed by the smart contract can be:

Withdrawn at any time via claim — transferring the accrued interest from the contract to your wallet (a gas fee is required)
Left on the contract — accumulating it and withdrawing later in a single transaction to save on gas

Claim is permissionless: the investor initiates it themselves, without platform approval.

What if the borrower delays a payout

Situation	What happens
Delay within the term	Maclear AG maintains communication with the borrower; penalties are charged under the terms of the contract
Overdue up to 60 days	The project is in overdue status but not in default. Active collection
Overdue 60 days	Default is declared. Realization of the collateral or Buyback

Interest accrued up to the moment of the overdue status remains with the investor.

Frequently asked questions

When will the first interest payout arrive? One month after the pool closes (the project moves to the Funded status). Not from the moment of your investment, but from the moment the pool is fully collected and the loan is issued to the borrower. After that, payouts go monthly until the end of the term.

Does interest arrive automatically in my wallet? Interest is automatically accrued on the smart contract and distributed by shares. But to transfer it to your wallet, you need to make a claim — this is a separate action by the investor. You can claim every month or accumulate and withdraw less often.

Why is the principal returned only at the end, not in parts? This is the bullet payment model, typical for business financing. The borrower uses the entire loan amount throughout the term for operational needs and returns it in a single payment at the end. For the investor, this means all the capital works for the entire term and earns interest.

What happens to the interest if I don't claim? It remains on the smart contract, assigned to your address. It doesn't burn or get lost. You can withdraw it at any time — whether every month or all at once at the end of the term.

Can I reinvest the interest I receive? At present, reinvestment is done manually — you withdraw the interest, choose a new project, and invest. Automatic reinvestment (auto-reinvest) is on the platform roadmap.

Can the rate change during the term? No. The rate is fixed in the smart contract when the pool closes and does not change until the end of the term. This is one of the key differences from DeFi platforms with variable rates. The investor knows their yield in advance.

What if I invested but the pool didn't close? Then interest accrual does not start. If the pool does not reach its target within the set period (Not Funded status), the deposit is automatically returned to your wallet via the smart contract.