Business and Personal Finance Dictionary

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• GRACE PERIOD
  
  A grace period is the time between the date a credit card bill is calculated and sent to you and the date the payment is due. When there's a grace period, you owe no finance charges on purchases you make during that period if you've paid your previous month's balance in full and on time. If your credit card has no grace period, you'll be charged interest from the moment you buy something with your credit card until you pay your bill. Many standard, classic, and premium cards have grace periods of 20 to 30 days.
  
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