Auto-borrow and manual borrow have exactly the same interest calculation method and frequency—both charge interest hourly and deduct it every hour. The core difference lies in "when the borrowing happens" and "how you repay". Auto-borrow aims for seamless trading: the system borrows automatically when your order is filled. Manual borrow gives you more control, letting you borrow first and decide how to use the funds before placing an order.
Step 1: Check Your Account Mode to Know What's Available
Your account mode determines whether manual borrow is supported. The OKX Unified Account only supports auto-borrow; manual borrow is not available. Manual borrow is mainly available in Single-currency margin mode, Multi-currency margin mode, and Portfolio margin mode.
What to do: Check your current account mode to see which borrowing method you can use.
How to do it: Go to the OKX trading page, click the settings menu in the top right corner, and look at Account Mode. If you are in "Simple trading mode," you must first switch to "Single-currency margin mode" or "Multi-currency margin mode" to see the borrow function.
Completion standard: You know your account mode and whether manual borrow is available for it.
Step 2: Understand the Trigger Logic – Who Moves First
The timing difference between auto-borrow and manual borrow directly shapes your experience.
What to do: Understand that auto-borrow means the system borrows for you when you place an order, while manual borrow means you borrow first and then trade.
How to do it: Compare these two scenarios:
Auto-borrow (Open Position Transfer mode): You place an order directly. If your available balance is insufficient, the system automatically borrows the shortfall when the order is filled. No interest accrues before the order is filled, but the borrow limit is still reserved. In isolated margin mode, the system automatically repays the borrowed assets when you close the position.
Manual borrow (One-click Borrow mode): Before placing an order, you go to the Borrow Management page, borrow the assets you need, and confirm. The borrowed funds then appear in your account, and you can place your order. Interest starts counting the moment the borrow is confirmed, even before you open a trade.
Completion standard: You can explain that auto-borrow is "borrow at the same time as placing an order" and manual borrow is "borrow first, then place an order". Knowing the difference helps you choose based on whether you want to confirm your funds in advance.
Common mistake: Many people place an order with auto-borrow, see it hasn't filled yet, and think no cost has been incurred. In reality, as soon as the order is submitted, the system reserves the borrowing capacity. Even if the order never fills, that capacity is tied up, and if it exceeds the interest-free allowance, interest may still apply.
High risk: In Multi-currency margin mode with cross margin, auto-borrowing comes with an "interest-free allowance." Interest only starts when unrealized losses push you beyond that allowance. But this doesn't mean you can borrow freely—once the market moves against you and the allowance is exceeded, hourly interest begins to pile up, and combined with trading losses it can quickly eat into your margin. Check the exact allowance figures in the Margin Interest Rules.
Step 3: Repayment Differences – Auto vs Manual
After borrowing, how and when you repay also differs between the two modes.
What to do: Understand the two repayment paths: automatic repayment when closing a position, and manual active repayment.
How to do it: Compare these repayment scenarios:
Repayment in auto-borrow: In isolated margin mode, the system repays automatically when you close the position. When you sell or buy to close, the system pays off interest first, then the principal.
Repayment in manual borrow: You need to repay manually. Go to the Assets page, find your liability record, click Repay, choose the coin and amount, and confirm the repayment.
In Multi-currency margin mode, if you have a liability after closing a position, it will not be cleared automatically—the debt remains in your account. You need to buy the corresponding coin in spot trading and manually repay it.
Completion standard: You know when you need to repay—whether the system does it for you, or you have to do it yourself.
How to verify after you borrow: After borrowing, go to the Assets page and check the "Liabilities" or "Margin Ratio" card. A margin ratio above 300% is the safe zone. If it drops below 100%, forced reduction or liquidation will be triggered. No matter which borrow method you use, the margin ratio is the real number you need to watch.
