Kendra Always Thought the Grace Period Feature of Her Credit

Multiple Choice

Kendra always thought the grace period feature of her credit card was such a wonderful idea. Why, in essence, she is getting her purchases interest free during this time. After taking Dr. Art Keown's Personal Finance course she learned a startling truth about grace periods.

A) Grace periods are actually beneficial to the credit card company.
B) There are higher fees associated with grace periods.
C) Most banks eliminate their grace period on new purchases if you don't pay your balance in full.
D) All credit cards carry a grace period.