What is a Grace Period?
March 15th, 2014 by Jennifer Frankel
In general, a grace period is a time span after a deadline in which a penalty would normally be levied, but is waived. When it comes to international and study abroad student loans, a grace period is a certain amount of time after you graduate, drop below half-time status, or otherwise leave school, where you do not have to pay your loans. During the grace period, no late fees are charged and not paying doesn’t adversely affect your credit score. However, the terms of the grace period are different for each type of loan you have. The most important things to know about your grace period is:
- how long the period lasts
- whether interest will be accruing on the loan during the grace period
- whether you are eligible for another grace period after a deferment Read the rest of this entry »