grace period


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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 ?
In its response, Newcastle City Council said: "From 6th April 2015, a 10 minute grace period was introduced for vehicles that are parked in accordance with the parking restriction for that type of bay.
Therefore, it was proposed to extend the grace period to 10 years," he said.
Meanwhile, buyers who paid less than two years of installments are entitled to a grace period of not less than 60 days from the date the installment became due.
Once a loan is consolidated, any grace period is ended.
Factories have benefited since 2010 of a grace period of three years to allow them change the nature of their activities to meet standards related to hygiene and respect for environment.
Their decisions kicked off month-long grace periods. Under many credit agreements, lenders can call all their debt due after the end of the grace period, potentially pushing the companies into bankruptcy.
The financing provided for them by the bank constitutes 60% of the total value of preparations, with a limit of EGP 500,000, and a repayment period of three years, including a six-month grace period.
The source said that the committee will monitor the malls closely during the grace period to ensure compliance.
The Nationality, Passports and Residence Affairs (NPRA) finalised procedures which enabled them to leave Bahrain and return to their countries of origin ever since the grace period was announced last July.
THE Construction Industry Training Board (CITB) announced last month that there will no longer be a grace period of six months for the Site Safety Plus Scheme.
The loans for fixed assets are offered at a fixed annual rate of 3 percent, with a repayment period of 5 years, including a one-year grace period. The loans for working capital have a repayment period of a year and a half and a grace period of three months.
If the vehicle is parked 'illegally' then there should be NO grace period but if they are in a time sensitive area then they could be delayed because of queues in shops/ banks/toilets and a small 10/15 minute grace period could be used.Steve Allen Ticket machines sometimes don't work so walking to and back from the next one does take time and council should defo give 10 minute space.