How to get cash from a credit card
You can get cash from a credit card in three main ways: at an ATM using your card's PIN, at a bank teller's window, or through a cash advance at a store that offers them. The fastest method is usually an ATM — you insert your card, enter your PIN, and withdraw money just like you would from a debit card. At a bank, you can ask a teller for a cash advance and they will process it on the spot. Some retailers also offer cash back when you make a purchase, though this technically isn't a credit card cash advance — it's a debit transaction.
The catch is that getting cash on a credit card costs you money upfront and charges a higher interest rate than regular purchases. Most cards charge a cash advance fee (usually 3 to 5 percent of the amount you withdraw, with a minimum fee of $5 to $10), and the interest rate on that cash starts accruing when ready — there is no grace period like there is for purchases. This means a $300 cash advance can cost you $9 to $15 just to take it out, plus interest from day one.
Key Takeaways
- Cash advances charge a separate fee (typically 3 to 5 percent) plus a higher interest rate than purchases, with interest starting when ready.
- You can withdraw cash at an ATM with your PIN, at a bank teller's window, or sometimes through a retailer, depending on your card.
- Your credit card company sets a cash advance limit that may be lower than your overall credit limit.
- Using a credit card for cash should be a last resort because the fees and interest make it an expensive way to borrow money.
Where your cash advance limit comes from
Your credit card issuer sets a separate cash advance limit that is often much lower than your regular credit limit. If your credit limit is $5,000, your cash advance limit might be only $1,000 or $1,500. You can find this limit in your cardholder agreement, in your online account, or by calling the customer service number on the back of your card.
This limit exists because card companies view cash advances as riskier than purchases — you are borrowing unsecured money rather than buying something they can repossess. If you have not used a cash advance before, your limit may be set automatically when you open the account. If you want to increase it, you can call your card issuer and ask, though they may deny the request if your account is new or your credit score is low.
The fees and interest that make cash advances expensive
A cash advance hits you with costs in two places. First, there is the cash advance fee, charged when you withdraw the money. This is usually a percentage of the amount (3 to 5 percent on most cards) or a flat dollar amount, whichever is greater. So a $300 withdrawal might cost $9 (3 percent) or $10 (a flat minimum), and a $1,000 withdrawal might cost $50 (5 percent).
Second, there is the cash advance interest rate, which is almost always higher than the rate on purchases. While a purchase might carry an APR of 18 percent, a cash advance on the same card might be 24 or 28 percent. Unlike purchases, there is no grace period — interest starts accruing the moment you withdraw the cash. If you carry a $300 cash advance for a month at 24 percent APR, you will owe roughly $6 in interest on top of the $9 fee you already paid.
Some cards offer a lower cash advance rate for a limited time (like 0 percent for 60 days), but this is rare and usually only for new cardholders. Read your cardholder agreement or call your issuer to find out what rate applies to you.
How to find your PIN and use an ATM
Most credit cards do not come with a PIN automatically — you have to set one yourself. Log into your online account or call the customer service number on the back of your card and ask to set up a PIN for cash advances. The issuer will either let you create one right then or mail you a temporary one. Once you have it, you can use any ATM that displays your card's logo (Visa, Mastercard, American Express, or Discover).
Insert your card, select "Withdraw Cash" or "Cash Advance," enter your PIN, and choose the amount. The ATM will show you the fee before you confirm, so you can see the total cost before the transaction goes through. The money will be in your hand within seconds, and the charge will appear on your credit card statement within a day or two.
Getting cash at a bank or through a retailer
If you do not have a PIN set up or prefer not to use an ATM, you can visit a bank branch and ask a teller for a cash advance. Bring your credit card and a form of ID. The teller will process the transaction and hand you cash on the spot. This method works even if you do not have a PIN, and some people prefer it because they can ask questions about the fee before they commit.
Some retailers also offer cash back when you make a purchase with a credit card, but this is different from a cash advance — it is a regular purchase transaction, and you only get cash back if you buy something. The cash back does not trigger a cash advance fee or the higher interest rate, so it is a cheaper way to get cash if you need to buy something anyway.
When a cash advance makes sense (and when it does not)
A cash advance should be a last resort. The fees and interest make it one of the most expensive ways to borrow money. If you need cash, consider these alternatives first: asking for a paycheck advance from your employer, borrowing from a friend or family member, using a personal loan (which usually has a lower interest rate), or visiting a credit union if you are a member.
A cash advance might make sense only in a genuine emergency — your car breaks down and you need cash to pay a mechanic, or you have an unexpected medical bill. Even then, plan to pay it back as quickly as possible. Every day you carry the balance, the interest compounds. If you find yourself taking cash advances regularly, that is a sign your budget needs attention or you need to explore other borrowing options.
How a cash advance affects your credit score
Taking a cash advance does not directly hurt your credit score the way missing a payment does. However, it does increase your credit utilization — the percentage of your available credit you are using. If your credit limit is $5,000 and you take a $1,000 cash advance, your utilization jumps to 20 percent. High utilization can lower your score slightly, especially if you already have other balances on the card.
The bigger risk is that a cash advance can become a habit, leading to larger balances and higher utilization over time. If you miss a payment on the cash advance balance, that will damage your score significantly. The best approach is to treat a cash advance as a one-time emergency measure, not a regular source of cash.
Frequently Asked Questions
Can I take a cash advance if I have a 0 percent introductory rate on purchases?
No. The 0 percent rate applies only to purchases, not to cash advances. Cash advances have their own interest rate, which is usually much higher, and it starts accruing when ready. If your card offers a 0 percent rate on cash advances specifically, that will be stated separately in your cardholder agreement.
What happens if I exceed my cash advance limit?
The ATM or teller will decline the transaction. You cannot withdraw more than your cash advance limit allows. If you need more cash, you would have to pay down the balance first or contact your card issuer to request a higher limit.
Do I have to pay back a cash advance separately from my regular credit card bill?
No. The cash advance balance appears on your regular credit card statement along with any purchases. You can pay it all together, but the cash advance portion will accrue interest at the higher rate until it is paid off. Some people pay the cash advance balance first to stop the interest from growing.
Is there a difference between a cash advance and a balance transfer?
Yes. A cash advance is money you withdraw in cash. A balance transfer is when you move debt from one credit card to another, usually to take advantage of a lower interest rate. Balance transfers have their own fees and terms, separate from cash advances.
Can I use a credit card cash advance to pay another credit card bill?
Technically yes, but it is a very expensive way to do it. You would pay the cash advance fee plus the higher interest rate, making your debt more costly overall. If you are struggling to pay multiple cards, contact a nonprofit credit counselor instead — they can help you create a repayment plan without taking on more expensive debt.