Grace Period
Categories: Marketing, Company Management
A grace period is that happy and blissful period of time in which we do not have to make payments on a loan we’ve taken out, and no penalties (like late fees or additional interest) are incurred for not making payments. We receive the grace of time until penalties get attached to bills we owe.
In the wonderful wide world of student loans, graduating students usually have a grace period of six months between graduation and the time that they need to begin making loan payments.
When it comes to mortgages or other loans, like for cars or credit cards, the grace period tends to be a lot shorter. Like five to fifteen days, total. Any paperwork we have on loans we’ve taken out or credit cards we carry will specify when a grace period happens and how long it is, and this is definitely good information to keep handy.