December 11, 2013
The grace period is your friend when it comes to credit cards. When do you lose it and why must this be avoided?
The grace period is your friend when it comes to credit cards. When do you lose it and why must this be avoided?
You lose it when you fail to pay your card off in full each month. This must be avoided, because otherwise you’ll have to start paying interest on your purchases as soon as they are posted on your account.
Well said, Katherine. Let’s recap.
If you don’t pay your credit card bill off in full each month, your purchases will start costing you money IMMEDIATELY upon being posted because the grace period is GONE. This must be avoided and that means paying your bill off in full every month. You can’t do it? Cut the card up or hide it until you can, your future self will thank you.