What is a redraw facility and how can it benefit a borrower?

What is a redraw facility and how can it benefit a borrower?

• A. A cap on future repayments to control extra payments.
• B. A separate savings account required by the lender.
• C. A guarantee from a third party to reduce risk.
• D. A feature that allows taking back extra repayments already made; provides access to funds while still paying down the loan.

Answer: (D)