Santa Claus comes around just once a year. In the meantime, there are Credit Cards.
  • Interest-free Grace Period on your Credit Card

    Understanding the benefit of a good number of days of grace period is important, when choosing a credit card. Interest-free grace periods help you save a substantial amount every year.

    Points to Remember:

    • Grace period is the timeframe between your bill cycle’s end to the payment due date. It is only interest-free if you pay your due payments on time. If you make your payment on time in full, consistently, sometimes the bank gives you a break on interest on your card for the present billing period.
    • Credit card companies are not required to provide a grace period, however most of the banks grant a grace period between 20 to 60 days in India. It is also referred to as the interest-free period. For those who struggle to make their payments on time, it may be tough to make payments in full and qualify for the grace period.
    • If you carry a balance from a previous billing cycle to the next, then there is no possibility for you to enjoy the leeway of grace period on your credit card.
    • However, grace period does not apply on the cash advances on your credit card issued by most banks in India. So, if you withdraw cash using your credit card, interest will be charged until the payment is fully cleared.
    • If, you as a cardholder do not pay your bill on or before the due date, interest is applied on your entire outstanding amount as well as the new purchases made using the credit card.

    Example:

    Let us try and understand interest-free period on your credit card with an example:

    For instance, Seema is a credit card user. Being a first time credit card user, she makes a purchase of Rs.2200 on the first day of her billing cycle for the month. At the end of the billing cycle, she pays off her outstanding balance on the due date, clearing her balance. Therefore, she will not be charged any interest in her purchases in the next month. This is wise use of grace period.

    What if, Seema left Rs.200 of her balance unpaid from the first month? The unpaid Rs.200 would start accruing an interest, right from the beginning of the billing cycle. The purchases made during the second months are also hit by interest charges. Although, it may not be a huge amount month-wise, but if Seema continues the pattern month-on-month, she could end up suffering a substantial amount of loss over a year.

    Thereby, it is very important how you can save yourself from being charged interest during the grace period granted by the bank. Cardholders must remember that if credit card bill payment is not up to date and not paid in full, he or she cannot enjoy any grace period.

      

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    Credit Card Reviews

    • Standard Chartered Bank Credit Card
      "Average card"
      0.5 3.0/5 "Satisfactory"
      I hardly use Standard chartered bank credit card , they have not charged me annual fee as it is life time free credit card, the credit limit which they have given to me was not good they have given me up to 25,000 but it is okay as i am hardly using this card, their overall service is average.
      Was this review helpful? 1
      , pune
      Reviewed on May 22, 2019
    • Bank Bazaar Credit Card
      "Excellent service"
      0.5 4.0/5 "Great!"
      I came to know about Bank bazaar service through on line, this is my first time i have applied through them, i have been using their website it is easy to access, so far i have never faced any issue from them, they have given me best service so far their customer care had time to time done follow up with my application.
      Was this review helpful? 0
      , pune
      Reviewed on May 22, 2019
    • Citibank Credit Card
      "Excellent card"
      0.5 4.0/5 "Great!"
      I have been using CITI bank credit card for recently, they have charged me annual fee but waived off option is available like if i spend 30,000-60,000 in an year then my fee will get waived off, they use to give good reward points like if i spend 100 also they use to give me good points, they have given me welcome gift up to 3800-5000 points, the card came on time, the process was smooth.
      Was this review helpful? 0
      , pune
      Reviewed on May 22, 2019
    • ICICI Bank Credit Card
      "Excellent Service"
      0.5 5.0/5 "Blown Away!"
      I am using ICICI bank credit card for more than 4 months. I have applied directly with bank so on time i received a card. It is an annual fee chargeable.The credit limit is sufficient to use. The customer service is good. I use to get cash back based on the transactions.
      Was this review helpful? 0
      , bangalore
      Reviewed on May 22, 2019
    • HDFC Bank Credit Card
      "Need to enhance the Credit Limit"
      0.5 3.0/5 "Satisfactory"
      I am using HDFC bank credit card for more than 2 and a half years. I have applied directly with bank so on time i received a card. It is a life time free credit card. I use the card for ticket booking get discount for up to 10%. and also for amazon and flip kart i use to get 10% off. The limit is not sufficient to use.
      Was this review helpful? 0
      , bangalore
      Reviewed on May 22, 2019
    • Bank Bazaar Credit Card
      "User friendly"
      0.5 5.0/5 "Blown Away!"
      I came to know about bank bazaar through a promotional message. I am yet to use the mobile app. The customer service is responsiveness on time whenever the query raised from customer. I use to check credit score through an online and is easy to apply for a product.
      Was this review helpful? 0
      , bangalore
      Reviewed on May 22, 2019
    • Kotak Credit Card
      "Excellent Service"
      0.5 5.0/5 "Blown Away!"
      It has been a while since i am using the KOTAK PVR GOLD CREDIT CARD, the services with them has been up to the mark. There has been a good credit limit with this card and i am using the card for all sort of purchases. I am getting some few offers with this card but i have not much utilized it.
      Was this review helpful? 0
      , chennai
      Reviewed on May 22, 2019
    • Kotak Credit Card
      "Excellent Service"
      0.5 5.0/5 "Blown Away!"
      I am using the KOTAK Essentia Platinum Credit Card for a long time, the services provided by them had been good. The card has a good credit limit and it has some annual charges as well. I use the card for online shopping and for other payments as well.
      Was this review helpful? 0
      , chennai
      Reviewed on May 22, 2019
    • SBI Cards Credit Card
      "Excellent Service"
      0.5 5.0/5 "Blown Away!"
      It has been five years since i am using the SBI Credit Card and there is a good credit limit with this card. There is no annual charges with this card and i am using the card for various purchases and also for shopping. There has not been much offers which i had utilized with this card.
      Was this review helpful? 0
      , chennai
      Reviewed on May 22, 2019
    • Citibank Credit Card
      "Excellent Service"
      0.5 5.0/5 "Blown Away!"
      I am using the CITI Rewards Card for the last couple of years, i am happy with the services provided by them. The reward point system with this card is really good and i am utilizing it by shopping and by other purchases. There is no annual charges with this card as well.
      Was this review helpful? 1
      , chennai
      Reviewed on May 22, 2019
    • American Express Credit Card
      "Excellent Service"
      0.5 5.0/5 "Blown Away!"
      I am using this credit card for the last five to six years, and card is good with its reward point system. It has a good credit limit and it also has some added benefits. It does have an annual fee and i am using the card for all sort of purposes like shopping.
      Was this review helpful? 0
      , chennai
      Reviewed on May 22, 2019
    • Bank Bazaar Credit Card
      "Excellent Service"
      0.5 5.0/5 "Blown Away!"
      I am using the services of Bank Bazaar for the last two to three months where i came to know about their services while browsing in the Internet. I had been using their web portal which has been quite convenient and their customer support team had also been helpful.
      Was this review helpful? 0
      , chennai
      Reviewed on May 22, 2019
    • IndusInd Bank Credit Card
      "Excellent Service"
      0.5 5.0/5 "Blown Away!"
      I had selected the INDUSIND BANK PLATINUM CREDIT CARD since i travel a lot abroad and this card will be very much useful for me in getting some good benefits out that. The process in getting this card was very much comfortable and the card was received on the right time. I am happy with the credit limit with this card and they had explained me about the features with this card.
      Was this review helpful? 0
      , chennai
      Reviewed on May 22, 2019
    • American Express Credit Card
      "Not Satisfied with the service"
      0.5 2.0/5 "Expected more"
      The process in getting my THE AMERICAN EXPRESS® MEMBERSHIP REWARDS CREDIT CARD has not been that good where it was delayed for almost three to four weeks and during that time there has not been a proper response from their end. The credit limit with the card is very less than expected and it has some annual charges as well.
      Was this review helpful? 0
      , noida
      Reviewed on May 22, 2019
    • Bank Bazaar Credit Card
      "gOOD SERVICE"
      0.5 5.0/5 "Blown Away!"
      Applying on-line was easy, there was proper follow ups. It does not took time for processing my application and the service given by bank bazaar is appreciable. Bank Bazaar experience was Good . I had applied for a credit card and i have got that without any hurdle.
      Was this review helpful? 0
      , noida
      Reviewed on May 22, 2019
    • Bank Bazaar Credit Card
      "Best service"
      0.5 5.0/5 "Blown Away!"
      Bank Bazaar makes it easier to compare and choose various financial products online. Customer service is good they are very prompt . Website is very easy to use of bank bazaar . So far it was good experience . Mobile application also good to use . My card experience is good .
      Was this review helpful? 0
      , vadodara
      Reviewed on May 22, 2019
    • HDFC Bank Credit Card
      "Good card"
      0.5 5.0/5 "Blown Away!"
      I have HDFC BANK credit card . The credit limit is low if they provide more limit then it will be fine . The card has annual fee but they said if i do minimum transaction the fees will be waive off . I am using this card for past 1month . I have not use this card much .
      Was this review helpful? 0
      , vadodara
      Reviewed on May 22, 2019
    • Bank Bazaar Credit Card
      "Good service and response"
      0.5 4.0/5 "Great!"
      Their app is best about bankbazaar. I have installed the app in my mobile and i am using it regularly. I can able to see all the credit card information in the app. When i apply for the credit cards, i have received a very good response from bankbazaar. They respond on time to the customer
      Was this review helpful? 0
      , hyderabad
      Reviewed on May 22, 2019
    • HDFC Bank Credit Card
      "Good Card"
      0.5 4.0/5 "Great!"
      I like the offers hence i have chosen this card. They have given me a limit of Rs. 59000 and i have got the card on time with the welcome kit. I have received the card in two months. There is a annual fee of Rs. 500. I'm using the card for shopping purpose ad I'm getting offers on that.
      Was this review helpful? 0
      , hyderabad
      Reviewed on May 22, 2019
    • IndusInd Bank Credit Card
      "They need to improve mobile appliaction"
      0.5 3.0/5 "Satisfactory"
      I have INDUISND BANK credit card . I have some issue with this card , when i use this card to update balance it take 3to 4 days and when i ma calling to customer service they are not responding , the application is very slow , it take 3-4 working days to update even though i am paying the bill or purchase it take 3 days .Rate of interest is very high .
      Was this review helpful? 0
      , chennai
      Reviewed on May 22, 2019
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