A fuller guide to this term is on the way. In the meantime, the related terms below explain the ideas around it.
Related MoneyPedia terms
- AutopaySetting up bills to be paid automatically from your account on their due dates so you avoid late fees and missed payments.
- Recurring ExpensesCharges that repeat on a regular schedule, such as monthly subscriptions or annual memberships, whether you use them or not.
- Cash FlowThe movement of money into and out of your accounts over time, showing whether more comes in than goes out.
- Late FeeA charge added when a payment arrives after its due date, which raises your costs and can hurt your credit.
- Grace PeriodA short window after a due date during which you can pay without a penalty or, on some cards, avoid interest entirely.
- Minimum PaymentThe smallest amount you can pay on a credit card each month to stay current, though paying only this keeps you in debt longer.
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Plain-English education — not personalized legal, tax, or investment advice.