Draw

A draw is an amount borrowed against a revolving credit facility, increasing its balance and reducing its Available Credit. Drawing, accruing interest, and paying fees all add to the facility balance; repayments reduce it.

Policy Stack records each draw on the facility ledger with its date and amount, so the running balance and available credit reconcile to the recorded events over time. A facility's balance can move up (draws, interest, fees) and back down (repayments) repeatedly — that movement is what makes it revolving rather than a one-time term loan.

Related terms: Redraw, Available Credit, Credit Limit, Policy-Level Repayment