Question

multiple choice:
circle the correct answer. each 1 pt.

1. a time period during which no finance charges will be added to your account.

a. rate period
b. grace period
c. interest period
d. loan period

Explanation:

A grace period is defined as a time - frame where no finance charges (like interest on credit card balances) are added to an account. A rate period is related to the time for which an interest rate is fixed. An interest period is when interest is calculated and added. A loan period is the total time for loan repayment.

Answer:

B. Grace period