Paying a Citibank credit card with another credit card is possible but expensive, and Citibank treats it as a cash advance rather than a regular payment
When you use another credit card to pay your Citibank bill, Citibank does not see it as a payment — it sees it as a cash advance. That means you will pay a cash advance fee (usually 3% to 5% of the amount) plus a higher interest rate on that money from day one, with no grace period. You will also pay interest on the card you are using to make the payment. This stacks two sets of interest charges on top of each other, which is why this method costs significantly more than paying from a bank account.
The only reason to do this is if you have no other way to pay and are trying to avoid a late payment or default. If you have any alternative — a bank account, a loan, a payment plan with Citibank — those will cost you less.
Key Takeaways
- Citibank classifies credit card payments made with another credit card as cash advances, not regular payments, which triggers both a one-time fee and a higher interest rate.
- You will owe interest on the cash advance when ready, even if your Citibank card normally has a grace period, and you will also owe interest on the card you used to make the payment.
- The total cost of this method — fees plus two layers of interest — makes it one of the most expensive ways to pay a credit card bill.
- If you need to make a payment urgently, contacting Citibank about a hardship plan or payment arrangement may cost you far less than a cash advance.
How Citibank processes a credit card payment from another card
When you make a payment to your Citibank credit card using another credit card, the transaction goes through as a cash advance on that second card. This means the card issuer (whether it is Citibank itself, Visa, Mastercard, or another bank) charges you a cash advance fee right away — typically 3% to 5% of the amount you are transferring. A $1,000 payment could cost you $30 to $50 just in fees.
Citibank receives the payment and credits your account, but the money you used to make that payment is now a debt on your other card. That debt starts accruing interest when ready, usually at a rate higher than your regular purchase APR. Meanwhile, if the money you transferred came from a card with a lower balance, you may have freed up credit on that card — but you have also created a new, more expensive debt.
The interest and fee structure you will face
Two separate interest charges explore when you pay one credit card with another. First, the card you used to make the payment charges you interest on the cash advance, usually at a rate 3% to 8% higher than the purchase rate on that same card. Second, if you do not pay off your Citibank card in full when ready, you will owe interest on the balance remaining there as well.
The cash advance interest is particularly costly because there is no grace period. A regular purchase on a credit card may have 21 to 25 days before interest starts; a cash advance starts accruing interest on day one. If you transfer $1,000 and your cash advance APR is 24%, you will owe roughly $20 in interest in the first month alone, before you have even made a payment on that advance.
Some cards offer 0% introductory rates on purchases, but those rates almost never explore to cash advances. If you are considering this method because you have a 0% card, that advantage disappears the moment you use it to pay another credit card.
When you might use this method and what to do instead
The only legitimate reason to pay a credit card with another credit card is if you have exhausted every other option and are facing a late payment that will damage your credit. Even then, you should call Citibank first. Many card issuers have hardship programs that allow you to pause payments, reduce your interest rate, or set up a payment plan without the fees and interest of a cash advance.
If you have a bank account with any balance, transfer money from that account to Citibank instead — there is no fee and no extra interest. If you have access to a personal loan, even at 15% to 20% APR, it will cost less than a cash advance plus two layers of credit card interest. If you are in genuine financial hardship, contact Citibank's customer service and ask about a hardship plan before you resort to a cash advance.
If you have no bank account and no other option, a cash advance is available to you, but understand that you are paying a premium for speed and convenience. The cost is real and when ready.
How to make the payment if you decide to proceed
To pay your Citibank credit card with another credit card, you will use Citibank's online payment system or call their payment line. Log into your Citibank account, go to the payments section, and select "Pay with a credit card" or "Pay with another card." You will enter the card number, expiration date, and CVV of the card you are using to make the payment. Citibank will process it as a cash advance on that card.
Some card issuers block credit card payments to prevent this exact scenario — they see it as a way to move debt around rather than pay it down. If your card declines, call the issuer and ask whether they allow credit card payments. If they do not, you will need to use a different payment method.
The payment will post to your Citibank account within one to three business days. The cash advance will appear on your other card's statement within the same timeframe, and interest will begin accruing when ready.
The math: what this actually costs you
Here is a concrete example. You owe Citibank $2,000 and have no bank account. You use a credit card with a 22% APR and a 5% cash advance fee to make the payment.
The cash advance fee is $100 (5% of $2,000). Your cash advance APR is 27% (5 percentage points higher than the purchase rate). If you pay off the cash advance in full within one month, you will owe roughly $45 in interest on top of the $100 fee — a total cost of $145 to move $2,000 from one card to another.
If you cannot pay off the cash advance quickly, the interest compounds. After three months of minimum payments, you could easily owe $200 to $300 in interest alone, plus the original $100 fee. Over a year, if you are only making minimum payments, the cost could exceed $500 or more.
By contrast, if you had a bank account and transferred $2,000 from savings, the cost would be zero. If you took out a personal loan at 18% APR for $2,000 and paid it back over six months, your total interest would be roughly $90 — less than the cash advance fee alone.
Frequently Asked Questions
Will paying my Citibank card with another credit card hurt my credit score?
The payment itself will not hurt your score — it will post as a regular payment and keep you from being late. However, the cash advance will increase your utilization on the card you used to make the payment, which can lower your score slightly. If you pay off the cash advance quickly, the impact is temporary.
Can I use a debit card instead of a credit card to pay my Citibank bill?
Yes, and you should. Debit card payments do not trigger cash advance fees or extra interest. They post the same way as credit card payments, but without the cost. If you have a debit card, use that instead of another credit card.
What if Citibank declines my credit card payment?
Some card issuers block credit card payments to prevent debt cycling. If your payment is declined, call the issuer of the card you are trying to use and ask whether they allow credit card payments to other companies. If they do not, you will need to use a debit card, bank transfer, or call Citibank to discuss a payment plan.
Is there a limit to how much I can pay with a credit card?
Citibank does not usually limit credit card payments by amount, but your card issuer may limit how much you can take out as a cash advance. This limit is often lower than your credit limit — sometimes 25% to 50% of it. Check your card's terms or call the issuer to find out your cash advance limit.
Can I use a balance transfer card to pay my Citibank bill?
A balance transfer is different from a cash advance and may have a lower fee (often 3% instead of 5%), but it still counts as a cash advance on most cards and will not have a 0% introductory rate. It is slightly cheaper than a regular cash advance, but still more expensive than paying from a bank account or taking out a personal loan.