The three ways to get cash from a credit card
You can pull cash from a credit card through a cash advance at an ATM or bank, a balance transfer to move debt to another card, or a cash-like purchase using convenience checks or money orders. Each method charges different fees and interest rates, and each one costs more than a regular purchase on the same card.
A cash advance is the most direct route: you go to an ATM or bank teller, insert your card, and withdraw money up to your credit limit. The bank treats this as a loan against your credit line, not as a purchase. That distinction matters because the fees and interest are steeper.
A balance transfer moves an existing debt from one card to another, usually one with a lower interest rate or a promotional period with no interest. This is useful if you already owe money elsewhere and want to consolidate or reduce what you pay. It does not put cash in your hand.
Convenience checks and money orders are less common now, but some card issuers still mail them to cardholders. You write a check or buy a money order against your credit line, then deposit it or cash it. The fees and rates match a cash advance.
Key Takeaways
- Cash advances charge an upfront fee (usually 3 to 5 percent of the amount withdrawn) plus a higher interest rate than regular purchases, with interest starting when ready.
- The interest rate on a cash advance is typically 2 to 5 percentage points higher than your card's purchase APR and varies by card and issuer.
- ATMs and bank branches are the fastest way to get cash, but some ATMs charge an additional operator fee on top of your card issuer's fee.
- Balance transfers move existing debt to a different card and may offer a promotional period with no interest, but they also charge an upfront fee and do not give you cash.
- Cash advances should be a last resort because the cost adds up quickly; personal loans, payday loans, or borrowing from family are often cheaper alternatives.
Cash advance fees and interest rates
When you take a cash advance, you pay two costs when ready: a cash advance fee and a higher interest rate. The fee is usually 3 to 5 percent of the amount you withdraw, charged to your account right away. If you withdraw $500, expect to pay $15 to $25 just to get the cash.
The interest rate on a cash advance is not the same as your purchase APR. Most card issuers charge 2 to 5 percentage points more for cash advances. If your purchase rate is 18 percent, your cash advance rate might be 23 or 24 percent. This rate varies by card and issuer, so check your card's terms or call the number on the back of your card to find out your specific rate before you withdraw.
Interest on a cash advance starts accruing the day you withdraw the money — there is no grace period like there is for purchases. If you carry a balance, you are paying interest every single day until you pay it back. A $500 advance at 24 percent interest costs you about $10 per month in interest alone if you do not pay it down.
Some ATMs also charge their own fee on top of your card issuer's fee. A bank ATM outside your issuer's network might charge $2 to $5 per transaction. That $500 withdrawal could cost you $25 to $30 in fees before you even use the money.
Where to withdraw cash from your credit card
The easiest place to get a cash advance is an ATM that displays your card's logo — Visa, Mastercard, American Express, or Discover. Insert your card, enter your PIN, select "cash advance" or "cash withdrawal," and choose your amount. The ATM will dispense the cash and charge you the fee.
If you do not know your PIN, you can call the number on the back of your card and ask the issuer to send you one or reset it. This usually takes a few business days. Some issuers let you set a PIN online through their website or app.
A bank branch is another option. Walk in with your card and ask the teller for a cash advance. The teller will verify your identity, process the transaction, and give you cash. This method avoids ATM fees but requires the branch to be open during business hours.
Convenience checks work differently. If your card issuer mailed you checks, you write one for the amount you need and deposit it or cash it. The issuer treats it as a cash advance, so the same fees and rates explore. Not all cards come with checks anymore.
Balance transfers versus cash advances
A balance transfer moves debt from one card to another, usually to take advantage of a lower interest rate or a promotional period with zero interest. This is useful if you already owe money on a high-interest card and want to save on interest while you pay it down. It does not put cash in your pocket.
Balance transfers charge an upfront fee, typically 3 to 5 percent of the amount transferred. If you transfer $2,000, you pay $60 to $100 in fees. The fee is added to your new balance on the new card.
The advantage is the promotional period. Many cards offer 0 percent APR on balance transfers for 6 to 21 months, depending on the card and the offer. During that time, you pay no interest, only the fee and your monthly payment. This can save hundreds of dollars if you pay down the balance before the promotional period ends.
After the promotional period ends, the regular APR kicks in. If you still owe money, you start paying interest at the card's standard rate. Read the fine print to know when the promotion ends and what the regular rate will be.
When a cash advance makes sense
A cash advance is worth considering only when you need cash urgently and have no other option. Examples include a car repair you cannot delay, a medical bill, or an emergency expense you cannot put on the card itself. Even then, it should be a temporary solution you plan to pay back quickly.
If you can wait a few days, a personal loan from a bank or credit union is almost always cheaper. Personal loans charge lower interest rates than cash advances — often 6 to 36 percent depending on your credit — and have no upfront fee. You also get a fixed repayment schedule, so you know exactly when you will be debt-free.
Borrowing from family or friends, if that is an option, costs nothing and carries no interest. A payday loan is faster than a personal loan but much more expensive than a cash advance, so that is not a better choice. A line of credit from your bank, if you have one, is usually cheaper than a cash advance.
If you do take a cash advance, pay it back as fast as you can. Every day you carry the balance, interest is piling up. If you can pay it back within a week or two, the total cost might be tolerable. If you are going to carry it for months, the interest will exceed the original fee.
How a cash advance affects your credit
Taking a cash advance does not directly hurt your credit score, but it can indirectly. A cash advance counts toward your credit utilization — the percentage of your available credit you are using. If you have a $5,000 limit and take a $1,000 cash advance, your utilization jumps to 20 percent.
High utilization can lower your credit score. Most scoring models penalize utilization above 30 percent. If you were already using a lot of your credit limit, a cash advance could push you over that threshold and cause your score to drop.
The cash advance also appears on your credit report as a separate transaction type, which some lenders notice. It signals that you needed cash urgently, which some view as a sign of financial stress. This is not a major factor in most credit decisions, but it is worth knowing.
Paying back the cash advance quickly helps. Once you pay it down, your utilization drops and the impact on your score fades. If you carry the balance for months, the ongoing interest charges and high utilization will keep your score lower for longer.
Alternatives to getting cash from a credit card
Before you take a cash advance, explore these cheaper options. A personal loan from a bank, credit union, or online lender usually charges 6 to 36 percent interest with no upfront fee. You borrow a fixed amount, receive it in your bank account, and repay it in equal monthly payments. The total cost is almost always less than a cash advance.
A line of credit from your bank works like a credit card but usually charges lower interest. You borrow what you need, pay interest only on what you use, and repay on a schedule. If you have an existing relationship with a bank, this is often faster to set up than a personal loan.
A credit card balance transfer makes sense if you already owe money on another card. Moving the balance to a card with a 0 percent promotional period saves you interest while you pay it down. This does not give you cash, but it reduces what you owe.
Borrowing from family or friends costs nothing if they agree. A written agreement about repayment protects both of you and keeps the relationship clear. If family is not an option, a credit union loan is usually cheaper than a payday loan and faster than a bank personal loan.
Frequently Asked Questions
What is the difference between a cash advance and a regular purchase on a credit card?
A regular purchase goes on your balance and has a grace period — you do not pay interest if you pay the full balance by the due date. A cash advance charges a fee upfront and interest starts when ready, with no grace period. The interest rate is also higher for cash advances.
Can I use a credit card to withdraw cash at any ATM?
You can use any ATM that displays your card's logo — Visa, Mastercard, American Express, or Discover. ATMs outside your card issuer's network may charge an additional operator fee. Check with your issuer to find ATMs that do not charge extra fees.
How long does it take to get a cash advance?
An ATM cash advance is when ready — you get the money right away. A bank teller cash advance takes a few minutes during business hours. Convenience checks take a few days to clear if you deposit them, or you can cash them when ready at a bank branch.
Will a cash advance hurt my credit score?
A cash advance does not directly hurt your score, but it increases your credit utilization, which can lower your score if it pushes you above 30 percent of your limit. Paying it back quickly brings your utilization down and limits the damage.
Is there a limit to how much I can withdraw as a cash advance?
Most card issuers set a cash advance limit that is lower than your total credit limit — often 20 to 50 percent of your credit line. Check your card's terms or call the issuer to find out your specific limit before you try to withdraw.