Which statement best describes refinancing and loan restructuring?

Which statement best describes refinancing and loan restructuring?

• A. Refinancing means extending the repayment term with same lender.
• B. Refinancing means converting to a fixed-rate loan; restructuring means converting to an adjustable-rate loan.
• C. Refinancing means switching lenders or loan products; restructuring means modifying terms with same lender.
• D. Refinancing means reducing interest rate only; restructuring means changing collateral.

Answer: (C)