Does a 55-day ‘interest free’ period for credit cards hold for every purchase?
Typically, credit cards have a 55-day interest-free period. This means the maximum time for which you won’t be charged interest on your bill for a new purchase is 55 days. This is tied to the day of the payment cycle and the purchase day. If a credit card billing period starts on the first of every month and ends on the 30th, the due date would be the 25th of the next month. That is, there is a total of 55 days between the first day of each month and when the bill is due. The cardholder is not charged interest during this period. But, if a purchase is made on, say, October 20, the interest-free period comes down to 35 days (up to November 25)
Will part payment help for late purchases?
Part payment always helps keep credit card companies’ incessant reminder calls and messages at bay. However, there is an interest levied on the outstanding bill as the 55-day period is over. The rate of interest can vary from 15 to 50%, depending on your credit and repayment history.
