Yes, you can use a credit card at an ATM, but it costs you money and works differently than a debit card
Most ATMs will accept a credit card, but what happens next is not the same as withdrawing from a checking account. When you use a credit card at an ATM, you are taking a cash advance — borrowing money directly from your credit card issuer. The machine dispenses cash, but the transaction is treated as a loan, not a withdrawal from your own funds.
The catch is when ready and expensive. Cash advances charge a fee (usually 3 to 5 percent of the amount withdrawn, with a minimum of $2 to $10), and they start accruing interest the moment you withdraw the money — there is no grace period like there is for regular purchases. Interest rates on cash advances are also typically higher than the rate on regular credit card purchases, sometimes 2 to 3 percentage points above your standard APR.
If you need cash, using a debit card, visiting your bank branch, or asking a cashier for cash back at a store are almost always cheaper options. A credit card ATM withdrawal should be a last resort, not a habit.
Key Takeaways
- A credit card ATM withdrawal is a cash advance, not a straightforward withdrawal — you are borrowing money that will accrue interest when ready.
- Cash advances charge an upfront fee (typically 3 to 5 percent) plus a higher interest rate than regular purchases, with no grace period.
- Using a debit card, visiting your bank, or getting cash back at a store checkout costs nothing and should be your first choice.
- If you do use a credit card at an ATM, the balance appears on your next statement and counts toward your credit utilization, which can lower your credit score.
How the fee and interest work on a credit card cash advance
The fee hits your account when ready. If you withdraw $200 and the fee is 4 percent, you owe $208 right away — the $8 fee is added to your balance. Some cards charge a flat fee instead (for example, $5 per withdrawal), so compare your card's terms to see which structure applies to yours.
Interest begins accruing the same day. Unlike a purchase, which typically has a 21 to 25 day grace period before interest kicks in, a cash advance starts charging interest on day one. If your card's cash advance APR is 24 percent and you withdraw $200, you will owe roughly $4 in interest after one month if you do not pay it back. That number grows quickly if the balance sits unpaid.
The cash advance APR is separate from your purchase APR. Many cards charge 2 to 3 percentage points more for cash advances, so even if your regular rate is 18 percent, your cash advance rate might be 21 or 22 percent. Check your card's terms or call the issuer to find out what rate applies to cash advances on your specific card.
Why your credit score can drop after a cash advance
A cash advance counts toward your credit utilization ratio — the percentage of your available credit that you are currently using. If you have a $5,000 credit limit and you take a $500 cash advance, your utilization jumps to 10 percent. Credit scoring models treat high utilization as a sign of financial stress, and even a single large cash advance can temporarily lower your score by a few points.
The effect is usually temporary. Once you pay off the cash advance, your utilization drops and your score recovers. But if you are planning to explore for a loan, mortgage, or another credit card in the next few weeks, a cash advance withdrawal right before that process could hurt your chances of approval or your interest rate.
When a credit card cash advance might make sense
There are very few situations where a credit card ATM withdrawal is the right choice, but they do exist. If you are in a genuine emergency — your car broke down and you need cash for a repair, or you are traveling and your debit card was lost — and you have no other way to get cash, a credit card cash advance is better than nothing.
Even then, pay it back as fast as possible. The longer the balance sits, the more interest you pay. If you withdrew $300 and paid it back within a week, the interest cost might be under $2. If it sits for three months, you could pay $18 or more in interest alone, on top of the initial fee.
Do not use a credit card ATM withdrawal to fund regular spending or to avoid overdraft fees on a checking account. Both of those situations have cheaper solutions — a small personal loan, a line of credit from your bank, or straightforward adjusting your spending to match your cash flow.
How to find ATMs that accept your credit card
Most ATMs will accept Visa and Mastercard, but not all. Discover and American Express are less widely accepted at third-party ATMs. Your card issuer's website or app usually shows a locator tool where you can search for ATMs that accept your specific card.
If you are using an ATM that does not belong to your card issuer's network, you may also be charged a surcharge by the ATM operator — typically $2 to $3 on top of the cash advance fee your card issuer charges. So a $200 withdrawal could cost you $8 to $13 in fees before interest even begins. Using an ATM owned by your card issuer (if you have a bank account with them) or your bank's ATM network is always cheaper.
Alternatives to a credit card cash advance
If you need cash and do not have a debit card or access to your bank, consider these options first:
- Cash back at a store: Most grocery stores, pharmacies, and retailers will give you cash back when you use a debit card at checkout, with no fee. If you have a credit card but no debit card, some stores will also give cash back on a credit card purchase, though this is less common.
- Visit your bank branch: If you have a checking or savings account, you can withdraw cash directly from a teller during business hours with no fee.
- Borrow from a friend or family member: If the amount is small and you can pay them back quickly, this costs nothing.
- A personal loan or line of credit: If you need a larger amount and cannot pay it back when ready, a personal loan from your bank or credit union typically charges less interest than a credit card cash advance.
- A payday loan (as a true last resort): Payday loans are expensive and come with serious risks, but they are sometimes cheaper than a credit card cash advance if you can pay back the full amount within two weeks.
What to do if you have already taken a cash advance
Pay it off as soon as you can. Unlike a regular credit card balance, where you might benefit from spreading payments over time, a cash advance should be your priority because the interest rate is so high. If you have other credit card balances at a lower rate, pay those minimums first, then put any extra money toward the cash advance.
If you cannot pay it off when ready, at least pay more than the minimum. A $300 cash advance at 24 percent APR will take over two years to pay off if you only make minimum payments, and you will pay more in interest than you borrowed. Paying $50 a month instead of the minimum will cut that time in half and save you money.
Do not take another cash advance to pay off the first one. That just extends the problem and adds more fees.
Frequently Asked Questions
Is there a limit to how much I can withdraw with a credit card at an ATM?
Yes. Your card issuer sets a cash advance limit, which is usually lower than your total credit limit. You might have a $5,000 credit limit but only a $1,000 cash advance limit. Check your card's terms or call the issuer to find out your specific limit. The ATM may also have its own daily withdrawal limit.
Can I use a credit card at an ATM if I do not have a PIN?
No. You need a PIN to withdraw cash at an ATM, even with a credit card. If you do not have one, contact your card issuer to request a PIN. It usually arrives by mail within a week or two, though some issuers can provide a temporary PIN over the phone.
Does a cash advance show up on my credit report?
The cash advance itself does not appear separately on your credit report, but the balance does. It counts toward your total credit card debt and your utilization ratio, both of which appear in your credit history. Paying it off quickly helps minimize the impact on your credit score.
What if I dispute a credit card cash advance?
Disputing a cash advance is difficult because you authorized the withdrawal yourself at the ATM. Unlike a fraudulent purchase, which you can dispute with your card issuer, a cash advance you took is considered a valid transaction. If your card was stolen and someone else withdrew cash, that is a different situation — contact your issuer when ready to report the fraud.
Can I use a credit card to withdraw cash from a bank teller instead of an ATM?
Yes, some banks will process a cash advance at the teller window, though not all. The fees and interest are the same as an ATM withdrawal. If you have a bank account with the issuer, it is usually faster and easier to withdraw from your own account instead.