> For the complete documentation index, see [llms.txt](https://help.defisaver.com/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://help.defisaver.com/features/loan-shifter/use-case.md).

# Use-case

DeFi Saver's Loan Shifter tool gives you the freedom and flexibility to move your positions from protocol to protocol. 

The shift is handled in a single transaction, so your loan can be shifted without needing to unwind or repay it manually.

&#x20;In turn, this allows users to:<br>

* Capitalize on better APYs provided on other protocols
* Reduce borrowing costs by switching to protocols with lower fees or more favorable collateral requirements
* React to market conditions by switching their collateral or debt assets
* Access new features that a different or newly integrated protocol offers

Let's look at an example where a user would like to use Loan Shifter to target better APY:

<details>

<summary>How to utilize Loan Shifter</summary>

Say we have an active position on Aave V3 with:

* 40 ETH in collateral ($63,762)
* $30.000 USDT in debt

The current Net APY for that position is +0.23% - We know this since this metric is displayed on our position, but also, we can navigate to the "Market" section of Aave V3 and look at:

* ETH's Supply APY (2.02%)
* USDT's Borrow APY (4.04%)

<figure><img src="/files/MhnLcSJ2NZF9cds3f8tt" alt=""><figcaption></figcaption></figure>

We then navigate to Spark's dashboard, and scroll down to the "Market" section:

We notice that:

* ETH's Supply APY is 1.98%
* USDT's Borrow APY is 2.85%

<figure><img src="/files/fPrOFunJNdH5ZeEyh43R" alt=""><figcaption></figcaption></figure>

So, we conclude that, if we had the exact same position, but on Aave V3 - We'd have a Net APY of +1.18%

But instead of:

* Closing our Aave V3 position
* Paying the fees associated with that
* Opening the same position on Spark
* Paying the fees associated with that

We decide to use Loan Shifter:<br>

1. Open up Loan Shifter from the sidebar:

<figure><img src="/files/r1sc93ycT80OYHslvj3M" alt=""><figcaption></figcaption></figure>

2. We select our current position on Aave V3 Core, and choose that we want to move it to Spark:

<figure><img src="/files/5rd6KlHpHv7UvUsFG0CK" alt=""><figcaption></figcaption></figure>

3. Underneath the inputs, we can see the before and after calculations for our position. We additionally conclude that our Safety Ratio will increase and that we'll have a bit more Borrow Power.
4. We decide that this works for us, and click "Shift"

Our position has now been moved, with the new APY on display:

<figure><img src="/files/rWps3OE3XNgBn6PdPh2d" alt=""><figcaption></figcaption></figure>

</details>

***

## Related Articles:

* [Fees](https://help.defisaver.com/features/loan-shifter/fees)
* [Compatibility](https://help.defisaver.com/features/loan-shifter/compatibility)