What is a credit card’s grace period?(1 point) Responses It is the period during which the card’s interest rate cannot change. It is the period during which the card’s interest rate cannot change. It is the amount of time after a purchase and before it starts accruing interest. It is the amount of time after a purchase and before it starts accruing interest. It is the amount of time between the bill being issued and your payment being due. It is the amount of time between the bill being issued and your payment being due. It is the period during which you can return the card and not incur any fees.
It is the amount of time after a purchase and before it starts accruing interest.
The correct answer is: It is the amount of time after a purchase and before it starts accruing interest.
A credit card's grace period refers to the amount of time between when a purchase is made and when interest begins to accrue on that purchase. This means that if you pay off your credit card balance in full within the grace period, you will not be charged any interest on that particular purchase.
To determine the grace period of a credit card, you can usually refer to the credit card terms and conditions or contact the card issuer directly. The grace period can vary depending on the credit card provider and the specific terms of the card.
It's important to understand and take advantage of the grace period, as it allows you to avoid paying any interest on your purchases if you pay off your balance in full before the grace period ends. However, it's crucial to note that the grace period does not apply to cash advances or balance transfers, as interest often starts accruing immediately on these types of transactions.