grace period

noun

: a period of time beyond a due date during which a financial obligation may be met without penalty or cancellation

Examples of grace period in a Sentence

The terms of the loan allow for a ten-day grace period.

Recent Examples on the Web

Pros Competitive interest rates No origination fee or annual fee No collateral required Cons Late fee of up to $40 No interest-free grace period Learn More View More Personal lines of credit often require strong credit and steady income. —Andreina Rodriguez, CNBC, 22 Aug. 2025

Should the stickers allowing solo drivers in carpool lanes become invalid on Oct. 1, which Honk mentioned last week will occur unless the U.S. Congress unexpectedly steps in, don’t plan on a grace period from the California Highway Patrol. —Jim Radcliffe, Oc Register, 15 Aug. 2025

After a multi-day grace period following last weekend's flooding, Milwaukee will soon resume its overnight parking enforcement. —Maia Pandey, jsonline.com, 12 Aug. 2025

Democratic strategist Joe Caiazzo said the numbers are evidence that any grace period Trump enjoyed has ended. —Jared Gans, The Hill, 26 July 2025

Word History

First Known Use

1907, in the meaning defined above

Rhymes for grace period

• myriad
• photoperiod

Legal Definition

grace period

noun

grace pe·​ri·​od

: a period of time beyond a scheduled date during which a required action (as payment of an obligation) may be taken without incurring the ordinarily resulting adverse consequences (as penalty or cancellation): as

a

: a period of 30 days or one month during which premiums on insurance policies may be paid without penalty

b

: a period of ten days during which certain security interests (as those in fixtures) must be perfected in order to have priority over conflicting security interests under Article 9 of the Uniform Commercial Code

called also days of grace