grace period

(redirected from days of grace)
Also found in: Dictionary, Medical, Legal.

Grace period

The time period stipulated in most loan contracts and insurance policies during which a late payment will not result in default or cancellation.

Grace Period

1. The time after the due date for a loan payment during which one may make the payment without any late fees or penalties. The length of the grace period depends on the loan terms, but is usually around 15 days.

2. The time after rent is due, during which one may pay rent without a late fee. The grace period for rent is usually five days.

3. In bonds, the time between the issue of the bond and the first coupon payment. This grace period usually applies to long-term bonds, where interest payments do not begin to occur for a few years after issue.

grace period

The period during which the issuer of a bond is not required to make interest payments. For example, a bond issued this year might only start paying interest five years from now. Bonds with grace periods are sometimes issued during a corporate restructuring.

Grace period.

A grace period is the number of days between the date a credit card issuer calculates your new balance and the date your payment is due.

In most cases, if you have paid the previous balance in full and on time, and you haven't taken any cash withdrawals, no finance charges are added to the amount of your purchases.

If you generally pay the entire balance due on time, you may want to choose a card with a longer rather than a shorter grace period, assuming the other terms are comparable. That gives you more time to be sure your payments arrive on time.

However, a minority of credit arrangements include a minimum finance charge, even if you do pay on time. Other lenders go back two billing cycles and will add finance charges if you have not paid the full amount due each time.

The grace period on a student loan allows you to defer repayment so that the first installment isn't due until six or nine months after you graduate or are no longer enrolled at least half time. The timing depends on the type of loan.

You also have a grace period in which to pay the premium on an insurance policy before the policy is cancelled. It's usually one month after the due date.

grace period

The allotted time during which a payment can be made without penalty and without entry upon credit records as delinquent or in default.

Grace Period

A number of days, usually 10 to 15, that a borrower is allowed to be late in making the mortgage payment without suffering any penalty.

References in periodicals archive ?
Days of Grace A forty-Day Journey With Jesus by Raymond Chapman Canterbury Press 161 pages, paper, $15.
It was also a happy ending for ownerbreeder Bob Pain, who is still breeding from the winning dam Days Of Grace.
Students had the chance to enrol at the college and then see the bands Autonomy, Severedstate, Days of Grace and Saving Sunday perform during the evening.
The delighted trainer also trained the dam, Days Of Grace, to register her final career success over this course and distance back in 2001 and he said: "We very nearly lost him as a foal, but he is hard as nails, just like his mother was.
Headlining the event are Daventry-based band Autonomy, and also playing are Saving Sandy and Oxford based Days of Grace.
During the day the college will put on a programme of live events, including local bands Severed State and Autonomy and Oxford bands Saving Sunday and Days of Grace.
David Barron's Flat racer ASHOVER AMBER has come on nicely since finishing fourth to Days Of Grace on the all-weather at Southwell recently and the four-year-old looks sure to pay her way on the sand in the near future.
Following Warwick successes on Bluegrass Beau and Eastborough, Moore drove to Newbury, where he landed the finale on Elgria and then motored to Lingfield's evening meeting, where he was narrowly touched off on Days Of Grace after being beaten on a hot favourite, Bank On Him.
Elaborating on his comment, Hall said: "Our horses have been wrong with a virus all year and we've had only one other winner, Days Of Grace.