What is the grace period on a credit card?
A grace period is the length of time a credit card issuer is willing to lend you its money for free. Many cards have 25-day grace periods. If you pay your balance in full before the 25 days are up, you are not slapped with any finance charges. If you pay only part of the balance owed, you ll pay finance charges on the rest. Many credit cards have a grace period, which benefits the cardholder. However, such cards are getting harder to find as the credit card industry continues to look for more ways to make money.
