The three ways to withdraw cash using a credit card
You can get cash from your credit card in three ways: at an ATM using your PIN, over the counter at a bank or credit union, or through a cash advance at a retail store. ATM withdrawals are the fastest and most common. You insert your card, enter your PIN, and withdraw money just as you would from a debit card — the transaction posts to your credit card balance instead of a bank account.
Over-the-counter cash advances at a bank or credit union require you to show your ID and sign a receipt. Some retail stores also offer cash advances at checkout, though this is less common than it once was. All three methods charge fees and interest, which begin accruing when ready — there is no grace period for cash advances the way there often is for purchases.
Key Takeaways
- ATM cash advances charge a fee (usually 3 to 5 percent of the amount) plus a per-transaction fee, and interest starts accruing the same day.
- Your credit card issuer sets a cash advance limit that may be lower than your overall credit limit, so you cannot always withdraw your full available balance.
- Interest rates on cash advances are typically higher than rates on purchases, sometimes by 5 percentage points or more.
- You can find your cash advance limit and fee structure in your cardholder agreement or by calling the number on the back of your card.
How to withdraw cash at an ATM
Insert your credit card into any ATM that displays your card's logo (Visa, Mastercard, American Express, or Discover). Enter your PIN — this is the same four-digit code you use for debit transactions, or one you set up when you opened the card. Select "Withdrawal" or "Cash Advance" from the menu, then enter the amount you want.
The ATM will show you the fee before you confirm the transaction. Review this amount carefully, as it is separate from the interest you will pay later. Once you confirm, the cash dispenses and the transaction appears on your credit card statement within one to two business days.
If you do not have a PIN set up, call the number on the back of your card and request one. Most issuers can issue a PIN over the phone or send one by mail within a few days. Some cards do not allow cash advances at all — check your cardholder agreement or call to confirm your card supports them before you go to an ATM.
Understanding cash advance fees and interest rates
Every cash advance charges two separate costs. The first is an upfront fee, usually between 3 and 5 percent of the amount withdrawn, with a minimum fee of $2 to $10. If you withdraw $200, you might pay a $6 to $10 fee when ready. This fee is added to your credit card balance.
The second cost is interest, which begins accruing the day you withdraw the cash. Unlike purchases, cash advances have no grace period — you start paying interest right away, even if you pay off the balance in full when your statement arrives. Interest rates on cash advances are typically 2 to 5 percentage points higher than your purchase APR. If your purchase rate is 18 percent, your cash advance rate might be 23 percent.
To calculate the total cost: a $300 cash advance at a 4 percent fee ($12) plus 23 percent APR costs $12 upfront, then roughly $5.75 in interest for the first month if you do not pay it back. Paying it back when ready is almost always cheaper than letting it sit on your card.
What your cash advance limit is and how to find it
Your credit card issuer sets a separate cash advance limit, which is often much lower than your overall credit limit. If your card has a $5,000 credit limit, your cash advance limit might be only $1,000 or $1,500. You cannot withdraw more than this limit, even if you have available credit for purchases.
Find your cash advance limit in three places: your cardholder agreement (the document you received when you opened the card), your online account portal, or by calling the customer service number on the back of your card. When you call, ask the representative to confirm both your cash advance limit and your current cash advance fee percentage, as these can change.
Some issuers allow you to request a higher cash advance limit, though this is less common than requesting a higher overall credit limit. If you need regular access to larger amounts of cash, ask whether your issuer will increase this limit.
Cash advances at banks and retail stores
You can also request a cash advance over the counter at a bank or credit union branch. Bring your credit card and a government-issued ID. Tell the teller you want a cash advance, and they will process it like a withdrawal. You will pay the same fees and interest as an ATM withdrawal, and the transaction posts to your credit card the same way.
Some retail stores — particularly grocery stores and pharmacies — offer cash back at checkout when you use a credit card. This is technically a cash advance, though some stores call it "cash back" to distinguish it from a purchase. You will still pay the cash advance fee and interest. Ask the cashier whether the fee applies before you confirm the transaction.
When a cash advance makes sense and when it does not
A cash advance is useful only in specific situations: you need cash urgently and have no other way to get it, or you are in a location where your debit card does not work. The fees and interest are steep enough that borrowing from a friend, using a debit card ATM, or visiting your bank branch should be your first choice.
A cash advance does not make sense if you are trying to move a balance to a lower-interest card, if you are short on cash regularly, or if you are considering it to avoid a late payment. In those cases, the interest and fees will compound your problem. If you find yourself needing cash advances often, that is a sign to review your budget or look into a personal loan, which typically charges lower interest.
How cash advances affect your credit score
A cash advance itself does not directly hurt your credit score the way a missed payment does. However, it increases your credit utilization — the percentage of your available credit you are using. If you have a $5,000 limit and withdraw $1,000 in cash, your utilization jumps to 20 percent. High utilization can lower your score slightly, even if you pay the balance on time.
The bigger risk is that cash advances make it harder to pay off your balance quickly because of the high interest rate. If you carry the balance for months, the interest charges grow, your utilization stays high, and your score suffers. Paying off a cash advance within a few weeks minimizes this damage.
Frequently Asked Questions
Can I use a credit card to withdraw cash from any ATM?
You can use any ATM that displays your card's logo — Visa, Mastercard, American Express, or Discover. Not all ATMs accept credit cards, and some banks charge an extra fee if you use an out-of-network ATM. Check your cardholder agreement for your issuer's ATM network and any associated fees.
What happens if I do not have a PIN for my credit card?
Call the customer service number on the back of your card and request a PIN. Most issuers can issue one over the phone when ready or mail one within a few days. Until you have a PIN, you cannot withdraw cash at an ATM, though you may still be able to request a cash advance over the counter at a bank.
Is a cash advance the same as a balance transfer?
No. A cash advance withdraws money from your credit line and deposits it into your bank account or wallet. A balance transfer moves debt from one credit card to another. Balance transfers often have lower introductory rates, while cash advances charge higher interest from day one. They are two separate transactions with different costs.
Can I pay off a cash advance before my statement closes?
Yes, you can pay off a cash advance at any time, and paying it off early reduces the interest you owe. However, the upfront fee is not refunded — you pay that whether you keep the cash advance for one day or one month. Paying it off within a week or two is the fastest way to minimize total cost.
What if my card does not allow cash advances?
Some cards, particularly secured cards or cards designed for rebuilding credit, do not permit cash advances. Check your cardholder agreement or call customer service to confirm. If your card does not allow them, you will need to use a debit card, visit your bank, or explore other borrowing options.