The Risk Sharing Argument for the Existence of Loan Commitments

The risk sharing argument for the existence of loan commitments suggests that

A) borrowers are less risk averse than the banks and therefore are willing to buy loan commitments.
B) borrowers, who are more risk averse than the banks, pay the banks to bear part of the interest rate risk.
C) the credit risk of the borrowers can be lowered if the banks are willing to sell loan commitments than if the borrowers borrow in the spot market.
D) the borrowers would face less liquidity risk in the future if the banks are willing to sell loan commitments.
E) none of the above