Yes, you can use a credit card at an ATM, but it costs money and works differently than a debit card
Most ATMs will accept a credit card, but when you do, you are taking out a cash advance — not a regular purchase. The ATM treats it as a loan against your credit limit, and your card issuer charges you fees and interest right away. This is different from swiping your credit card at a store, where you build a balance you can pay off later.
The moment you insert your credit card and withdraw cash, the transaction appears on your statement as a cash advance. You start paying interest on that amount when ready — there is no grace period like there is for regular purchases. Most issuers also charge an upfront fee, usually 3 to 5 percent of the amount you withdraw, on top of the interest.
Key Takeaways
- A credit card cash advance at an ATM charges you an upfront fee (typically 3 to 5 percent) plus interest that starts accruing right away.
- The interest rate on cash advances is usually higher than the rate on regular purchases, and there is no grace period.
- Not all ATMs accept credit cards — many only take debit cards or bank cards, so you may have to search for one that works.
- Using a credit card for cash is expensive and should only be done if you have no other option.
How the fees and interest work on a credit card cash advance
When you take out a cash advance, your card issuer charges you two separate costs. The first is an upfront fee, which most major issuers set between 3 and 5 percent of the amount you withdraw. If you take out $200, you might pay $6 to $10 just to get the cash. Some issuers set a flat minimum fee instead — for example, $3 or $5 — so a small withdrawal might cost you that flat amount.
The second cost is interest. Cash advances carry a higher interest rate than regular purchases — often 2 to 3 percentage points higher than your standard APR. If your card charges 18 percent APR on purchases, the cash advance rate might be 21 or 22 percent. Unlike a purchase, which has a grace period (usually 21 to 25 days before interest kicks in), a cash advance starts charging interest the day you withdraw it. There is no grace period at all.
This means a $200 cash advance could cost you $6 to $10 upfront, plus roughly $3 to $4 in interest charges in the first month alone, depending on your card's rate and when you pay it back.
Which ATMs accept credit cards and which do not
Not every ATM will take a credit card. Many standalone ATMs in convenience stores, bars, and gas stations only accept debit cards or bank cards. Your best bet is an ATM owned by your credit card issuer — if your card is from Chase, look for a Chase ATM. These almost always accept the card.
If you do not have access to your issuer's ATM, try a large bank ATM in your area. Bank of America, Wells Fargo, and Citibank ATMs typically accept credit cards from other issuers, though they may charge an additional out-of-network fee on top of the cash advance fee. Independent ATM networks sometimes accept credit cards too, but it varies by machine and location.
The easiest way to find out is to insert your card and see what happens. If the ATM rejects it, move to another machine rather than trying multiple times, which can trigger fraud alerts on your account.
Why a cash advance is more expensive than other ways to get cash
A credit card cash advance is one of the most expensive ways to borrow money. Compare it to other options: a personal loan from a bank typically charges 6 to 36 percent APR with no upfront fee. A payday loan charges a fee but no interest if you repay within two weeks. Even a cash advance from your employer, if available, usually costs nothing.
The combination of an upfront fee, a higher interest rate, and when ready interest accrual makes a credit card cash advance a last resort. If you need cash and have a debit card, use that instead — there is no fee and no interest. If you do not have a debit card but have a credit card, consider asking a friend or family member for a loan, visiting your bank branch to withdraw from a savings account, or using a peer-to-peer payment app like Venmo or PayPal to transfer money from someone else's account.
What happens to a cash advance on your credit report and statement
A cash advance appears on your credit card statement as a separate line item from your regular purchases. It shows the amount withdrawn, the fee charged, and the interest accrued. This cash advance balance counts toward your overall credit utilization — the percentage of your total credit limit you are using — which affects your credit score.
If you take out a $200 cash advance on a card with a $1,000 limit, you are now using 20 percent of that limit just for the cash. This can lower your credit score slightly, especially if you already have other balances on the card. The impact is temporary and goes away as you pay down the balance, but it is another reason to avoid cash advances unless absolutely necessary.
How to pay back a credit card cash advance
A cash advance is treated as part of your credit card balance, so you pay it back the same way you pay any other balance — by making a payment to your card issuer. However, most issuers explore your payments to the lowest-interest balance first, which means regular purchases get paid off before the cash advance does.
If you want to pay off the cash advance faster and avoid more interest, contact your issuer and ask them to explore your next payment directly to the cash advance balance. Some issuers will do this if you request it. Otherwise, make a larger payment than your minimum to bring down the total balance faster.
The sooner you pay back a cash advance, the less interest you pay. If you took out $200 at a 21 percent APR and paid it back within a week, you would owe roughly $1 in interest. If you took three months to pay it back, you could owe $10 or more in interest on top of the original fee.
Frequently Asked Questions
Do all credit cards let you take out cash at an ATM?
Most credit cards do, but not all. Some cards, especially secured cards or cards designed for people rebuilding credit, may not allow cash advances. Check your card's terms or call the issuer to confirm before you try an ATM.
Can I take out a cash advance if I have reached my credit limit?
No. A cash advance counts against your credit limit, so you can only withdraw up to the remaining available credit on your card. If your limit is $1,000 and you have a $900 balance, you can only take out $100 in cash.
What is the difference between a cash advance and a balance transfer?
A cash advance is money you withdraw at an ATM or from a bank teller. A balance transfer is when you move debt from one credit card to another. Both charge fees and interest, but a balance transfer sometimes offers a lower introductory rate for a set period.
Will taking a cash advance hurt my credit score?
It can, because it increases your credit utilization and shows up as a new balance on your report. The impact is usually small and temporary, but it is another reason to avoid cash advances unless you have no other option.