What Is a Grace Period
The grace period is the additional time which is provided to special people or the customers after the fixed deadline has been crossed. Generally speaking there are different amount of late payment charges are applied on the delayed payment but during the grace period these applicable charges are also waived off, which permit the customer to pay the amount in the grace period without any extra and delayed charges. The number of grace days or the grace period can differ as it can range between few minutes which can also extent up to few days also which absolutely depend on the kind of services which are offered and rendered by the company. The grace period is often defined as the exceptional time limit which is offered to the valuable customer and this period is also called as the obligatory time. Examples are like telecommunication companies, insurance companies etc.
There are many kinds of grace period which are offered by various companies which is actually an obligation which is offered by the company. The person who does the work within the offered time or makes the due payment within the grace period is treated in the similar fashion just like the other normal person as there are no extra charges or penalty which is levied as these charges are waived off or exempted during the grace period. The other kind of grace period can be taking the negligible or very less charges which are also a kind of grace period where the extra charges are applied but in the very less percentage than the normal time of period. There are few companies which suspend the extra facilities or the privilege offered at the time of grace period.
There are several benefits and disadvantage which are offered by the Grade period. The major benefit is that during the grace period no extra charges or the extra payment is required. Grace period is a blessing for those people who are unable to pay the amount or finish the work within the stipulated deadlines due to some unforeseen and natural circumstances but on the other hand there may be people who take the undue advantage of the grace period offered to them and they make it a habit to delay the work or payment due. The genuine person is benefited as the late payment charges are waived off and so they do not suffer financially due to delayed payment but on the other hand the person who have deliberately delayed the payment can enjoy the benefit of grace period and may take the undue advantage.