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A credit card grace period is the time between the end of your billing cycle and your payment due date. During this period, you can pay off your full balance without paying any interest. It’s one of the best features of credit cards — but it only works if you know how to use it correctly.

✅ 5 Things to Know About Grace Periods:

1. It typically lasts 21 to 25 days after the billing cycle ends. If you pay your balance in full within this time, you won’t be charged interest.
2. You must pay 100% of the balance, not just the minimum payment. Paying only part of it means interest starts building on the remaining amount.
3. If you carry a balance, your next purchases won’t have a grace period — interest applies immediately.
4. Cash advances don’t qualify — they start charging interest right away, no matter what.
5. Treat the grace period as a free loan window — use it smartly and you’ll never pay extra.

👉 A grace period is a gift — but only if you pay your balance on time and in full.

Your credit limit is the maximum amount you’re allowed to borrow on a credit card or line of credit. It may sound simple, but knowing how it works — and how to stay within it — can protect your credit score and your peace of mind.

✅ 5 Key Points About Credit Limits:

1. It’s the cap on how much you can borrow — not how much you should.
2. Using too much of it (over 30%) can lower your credit score.
3. Paying on time and in full can increase your limit over time.
4. Going over your limit may lead to fees, declined purchases, or account freezes.
5. Your income, credit score, and repayment history affect how your limit is set.

👉 A smart borrower doesn’t just stay under the limit — they use credit like a tool, not a trap.

A line of credit is a flexible way to borrow money when you don’t need it all at once. It’s different from a loan – you can borrow, repay, and borrow again, like a financial safety net. Here’s how it works and when it makes sense.

✅ 5 Key Facts About Lines of Credit:

1. You get approved for a maximum amount, but only pay interest on what you actually use.
2. It’s reusable — repay what you used, and the money becomes available again.
3. Interest rates are often lower than credit cards, but higher than personal loans.
4. It’s great for irregular expenses — home repairs, business costs, or school fees.
5. You need good credit to qualify, and repayment discipline is key.

👉 A line of credit gives you borrowing power on standby — just don’t treat it like free money.