An example of a grace period is a span of time during which your credit card company does not charge you interest or late fees for non-payment.
grace period - Investment & Finance Definition
- A time period between when a cost is incurred and when a payment is due. Grace periods often are associated with credit cards that don’t start charging interest on new purchases until 25 days after the item has been charged.
- A time period in which insurance won’t be cancelled if a payment isn’t received.