3 days grace period for Credit Card payment RBI
3 days grace period for Credit Card payment RBI : The Reserve Bank of India (RBI) has introduced a new rule that provides credit cardholders with a 3-day grace period for payment. This means that if you miss the due date for your credit card payment, you will have an additional 3 days to make the payment without incurring any late fees or penalties.
Here’s everything you need to know about the 3-day grace period for credit card payment in India:
What is the 3-day grace period for credit card payment?
The 3-day grace period is a new rule introduced by the RBI that provides credit cardholders with an additional 3 days to make their credit card payment if they miss the due date. This means that if the due date for your credit card payment is on the 5th of the month, you have until the 8th of the month to make the payment without incurring any late fees or penalties.
How does the 3-day grace period work?
This type of grace period applies to all credit card payments made in India. If you miss the due date for your credit card payment, your credit card issuer cannot charge you any late fees or penalties for the next 3 days. However, interest will continue to accrue on the outstanding balance during this period.
What are the benefits of the 3-day grace period?
The 3-day grace period provides credit cardholders with an additional window to make their credit card payment without incurring any late fees or penalties. This can be especially beneficial for those who may have missed the payment deadline due to unforeseen circumstances, such as a medical emergency or a delay in salary.
What are the limitations of the 3-day grace period?
While the grace period provides some relief to credit cardholders, it is important to note that interest will continue to accrue on the outstanding balance during this period. Additionally, if you fail to make the payment within the 3-day grace period, your credit card issuer can charge you late fees and penalties.
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Conclusion
The 3-day grace period for credit card payment introduced by the RBI provides credit cardholders with some relief if they miss the payment deadline. However, it is important to remember that interest will continue to accrue on the outstanding balance during this period and that late fees and penalties can be charged if the payment is not made within the 3-day grace period. It is always advisable to pay your credit card bill on time to avoid any financial consequences.
