You can withdraw cash from a credit card, but it costs more than a regular purchase
Withdrawing cash from a credit card is called a cash advance. Unlike a debit card, where you pull money from your own account, a cash advance borrows money on your credit line. The bank charges you a fee upfront — usually 3 to 5 percent of the amount — and starts charging interest when ready, often at a higher rate than your regular purchase APR. There is no grace period like there is for purchases.
You can get a cash advance at an ATM using your credit card PIN, at a bank teller window, or sometimes through a convenience check the card issuer sends you. The process is straightforward, but the cost makes it worth doing only when you have no other option.
Key Takeaways
- Cash advances charge an upfront fee of 3 to 5 percent plus interest that starts accruing when ready, with no grace period.
- You can withdraw cash at an ATM with your credit card and PIN, at a bank teller, or by depositing a convenience check.
- Interest rates on cash advances are typically higher than rates on regular purchases, sometimes 5 to 10 percentage points above your standard APR.
- The cash advance amount counts toward your credit limit, so withdrawing $500 leaves you with $500 less available credit.
- Cash advances do not earn rewards points or cash back, even if your card normally offers them on purchases.
Getting cash at an ATM with your credit card
To withdraw cash at an ATM, you need your credit card and your PIN (personal identification number). If you do not have a PIN set up, contact your card issuer — most will issue one by phone or through your online account. Once you have it, insert your card into any ATM that displays your card brand's logo (Visa, Mastercard, American Express, Discover).
Select "cash advance" or "withdraw cash" from the menu, enter your PIN, and choose the amount. The ATM will show you the fee before you confirm. Most ATMs charge their own operator fee on top of your card issuer's cash advance fee, so the total cost is often $5 to $10 plus the percentage. The cash comes out when ready, and the transaction posts to your credit card account within one business day.
ATM withdrawals have a daily limit set by your card issuer — often $500 to $1,000 per day, though this varies. Check your card's terms or call the issuer to find out your specific limit before you go to the ATM.
Withdrawing cash at a bank teller
You can also walk into a bank branch and ask a teller for a cash advance on your credit card. Bring your card and a photo ID. The teller will process the transaction at the counter, and you will receive cash when ready. This method avoids ATM operator fees, so you pay only your card issuer's cash advance fee and interest.
Not all banks allow this for cards issued by other institutions — some tellers will only process cash advances on cards from their own bank. Call ahead or ask at the counter before you wait in line. Bank hours also limit when you can do this, unlike an ATM which is available 24/7.
Using convenience checks to get cash
Many credit card issuers send convenience checks in the mail — blank checks drawn against your credit line. You can write one to yourself, deposit it into your bank account, and withdraw the cash. The issuer treats this as a cash advance, so the same fees and interest rates explore.
Convenience checks are useful if you need a larger amount than an ATM daily limit allows, or if you want to avoid going to a physical location. However, they take several days to clear, so this is not a same-day option. Also, some issuers charge a higher fee for convenience checks than for ATM withdrawals, so check your card's terms before you use them.
Understanding the costs and interest
A cash advance on a $500 withdrawal might cost you $15 to $25 in fees alone (3 to 5 percent), plus $5 to $10 in ATM operator fees. Then interest starts accruing when ready at your cash advance APR, which is often 25 to 30 percent or higher — sometimes 5 to 10 points above your purchase APR. If you carry the balance for a month, you could owe $10 to $15 in interest on top of the fees.
Your credit card statement will show the cash advance as a separate line item from your regular purchases. Payments you make go toward your lowest-interest balance first, so if you have both purchases and a cash advance, your payment covers the purchase balance before it touches the cash advance. This means the cash advance interest keeps growing while you pay down purchases.
Cash advances also do not earn rewards points, cash back, or any other benefits your card normally offers on purchases. You pay the cost with no upside.
How a cash advance affects your credit limit and credit score
When you take a cash advance, the amount is deducted from your available credit when ready. If your credit limit is $5,000 and you withdraw $500, you now have $4,500 available to spend. This counts toward your credit utilization ratio — the percentage of your total credit limit you are using. A higher utilization ratio can lower your credit score, even if you pay the balance on time.
The cash advance itself does not show up differently on your credit report than a regular purchase, but the higher balance and utilization can affect your score. If you carry the cash advance balance for several months, the impact grows. Paying it off quickly — within a billing cycle or two — minimizes the damage.
When a cash advance might make sense
A cash advance is expensive and should be a last resort, but there are rare situations where it is the least bad option. If you need cash for an emergency and have no other way to get it — no savings, no access to a personal loan, no friends or family to borrow from — a cash advance is faster than most alternatives. It is also faster than a payday loan, which often has even higher interest rates.
If you do take a cash advance, pay it back as soon as you can. Every day you carry the balance, interest compounds. Paying off a $500 cash advance within a week costs far less than carrying it for a month. Set a specific payoff date when you withdraw the cash, and treat it like a debt you need to clear urgently.
Frequently Asked Questions
Can I get a cash advance if my credit card is maxed out?
No. A cash advance counts against your available credit, so you need unused credit on your card to withdraw cash. If your limit is $5,000 and you have already spent $5,000, you cannot take a cash advance.
What is the difference between a cash advance and a balance transfer?
A cash advance gives you physical cash and charges a fee plus high interest. A balance transfer moves debt from one card to another and may offer a lower introductory rate. Balance transfers are for moving existing debt; cash advances are for getting new cash.
Do I have to pay back a cash advance if I pay my credit card bill?
Yes. A cash advance is a charge on your credit card account just like a purchase. When you pay your bill, the payment reduces your cash advance balance. If you only pay the minimum, the remaining balance accrues interest at your cash advance APR.
Can I withdraw cash from a credit card without a PIN?
At an ATM, no — you need a PIN. At a bank teller, you can use your card and photo ID without a PIN. You can also use convenience checks if your issuer sends them. If you do not have a PIN, call your card issuer to request one.
Will a cash advance hurt my credit score?
It can, because it increases your credit utilization ratio and adds a balance to your account. The impact is usually temporary and smaller if you pay it off quickly. Carrying a cash advance for months will have a larger effect on your score than paying it off within a billing cycle.