# Collect on a default

You will follow the same steps under the [How to collect payment + interest](https://ruler.gitbook.io/ruler-protocol/user-guide/collect) example but you instead will receive both Dai and wETH (collateral) in this case. Please read the difference in the collection as mentioned below.&#x20;

{% content-ref url="" %}
[](https://ruler.gitbook.io/ruler-protocol/user-guide/collect)
{% endcontent-ref %}

{% hint style="warning" %}
If there is a default (the borrower does not payback the loan), the lender will return rcTokens to Ruler Protocol and collect the following assets proportionally with their share of the Ruler Pair:

* Repayments made from borrowers in the pair
* Collateral defaulted/forfeited in the pair
  {% endhint %}

***Taking xRULER Pair (xRULER, Dai, 05/31/2021, 250) as an example.***

1 xRULER deposited for the pair, 250 rTokens minted&#x20;

Only half of the rrRulerDegen are paid back at the due date(a default rate of 50%)&#x20;

The pair now has 0.5 xRuler + 125 Dai in the contract.&#x20;

Each rcToken will be eligible to receive:

$$
(0.5
xRuler (58$) + 125 Dai) \* (1 / 250)= 0.732 Cents PerRCToken
$$

This equates to 0.732 cents per rcToken upon collection. **You would have a loss of 26.8% on a 50% default rate assuming** the current market price of xRULER is at $116.&#x20;
