How to Withdraw Cash from a Credit Card?
Learn how credit card cash withdrawal works, where you can withdraw cash, what cash advance fees and interest can apply, and when using a credit card for cash may become expensive.
What is credit card cash withdrawal?
Credit card cash withdrawal, also called a cash advance, allows you to use your available credit limit to obtain cash instead of making a regular card purchase.
Depending on the card issuer, you may be able to withdraw cash through an ATM or another supported cash-advance channel. The transaction is generally treated differently from an ordinary retail purchase.
A cash withdrawal is not the same as a normal credit card purchase.
When you use a credit card at a shop or online, the transaction is normally treated as a purchase. A cash advance is a different type of transaction and can have separate fees, interest treatment and limits.
Before withdrawing cash, check your card's latest schedule of charges, cash advance terms, available cash limit and applicable interest rate.
Check Credit Card Interest Guide →How to withdraw cash from a credit card step by step.
The exact process varies by card issuer and ATM, but the general cash withdrawal flow is straightforward.
Check Cash Withdrawal Eligibility
First confirm that your credit card supports cash advances and check your available cash withdrawal limit.
Use a Supported ATM
Insert your card or use the supported withdrawal method, enter the required PIN and select the cash withdrawal or cash advance option.
Enter the Cash Amount
Choose an amount within your available cash limit and complete the ATM instructions to receive the cash.
Repay According to Your Statement
Review the transaction, applicable fees and finance charges on your statement and make the required payment by the due date.
Why is credit card cash withdrawal often expensive?
A cash advance can involve multiple costs. The issuer may charge a cash advance fee, and finance charges may apply according to the card's terms. An ATM operator or other service provider may also have separate charges in some situations.
The exact cost depends on the card, issuer, withdrawal amount and terms. Never assume that the cost will be the same as a normal card purchase.
The exact charges are card-specific. Your latest card agreement and schedule of charges should be treated as the source for your applicable costs.
Three limits to check before taking cash from your credit card.
Your overall credit limit does not necessarily mean the same amount is available for cash withdrawal.
Total Credit Limit
This is the overall credit limit assigned to your card. It covers your eligible card usage according to the issuer's terms.
Available Credit
Your available credit can change as you make purchases, payments and other transactions.
Cash Withdrawal Limit
Your card may have a separate cash advance limit that is lower than the overall credit limit.
What to check before withdrawing cash from a credit card.
Cash advances can solve a short-term cash problem, but the cost can make them unsuitable for regular borrowing.
Check the Fee
Find the cash advance fee in your card's latest schedule of charges before completing the transaction.
Check Interest Terms
Understand when finance charges can apply and how the issuer calculates them for cash advances.
Check Your Limit
Confirm your available cash withdrawal limit rather than assuming your full credit limit is available as cash.
Have a Repayment Plan
Know how you will repay the withdrawn amount before using a cash advance.
Compare the cash advance with other options.
If you need cash, a credit card cash advance is not automatically the lowest-cost option. Compare the total cost before deciding.
Normal Credit Card Purchase
If you need to purchase a product or service, paying directly by card may be different from withdrawing cash.
Understand Card Interest →Personal Loan
For a larger planned borrowing need, compare the total cost and repayment structure of a personal loan with a cash advance.
Explore Personal Loan Guide →Short-Term Financial Planning
If the need is temporary, first review your available savings and repayment capacity before taking expensive revolving credit.
Build Better Credit Habits →
Credit card cash withdrawal FAQs
If your card supports cash advances, you may be able to withdraw cash through a supported ATM or another channel provided by the card issuer. Check your card terms, cash withdrawal limit and applicable fees first.
Eligible credit cards may allow ATM cash withdrawals using the required card and PIN. Availability, limits and fees depend on the card issuer and card product.
It can be expensive because a cash advance may involve a separate withdrawal fee and applicable finance charges. Check the latest schedule of charges and interest terms for your specific card.
A cash advance fee is a charge that an issuer may apply when you use your credit card to obtain cash. The amount and calculation method vary by card and issuer.
Finance or interest charges may apply to cash advances according to the card's terms. The applicable treatment can differ from ordinary card purchases, so review your card agreement before withdrawing cash.
The cash withdrawal limit is the amount your issuer allows you to withdraw as cash from the available credit facility. It may be lower than your total credit limit and varies by card.
Not necessarily. Credit cards can have a separate cash withdrawal or cash advance limit that is lower than the overall credit limit.
No. A cash advance is generally treated differently from a normal card purchase and may have separate fees, interest treatment and limits.
It may provide access to cash when other options are unavailable, but you should first understand the fees, applicable finance charges and repayment cost. Consider your repayment ability before using a cash advance.
Compare the applicable cash advance fee and finance charges, withdraw only what you need and repay according to your card terms as soon as practical. Always review the statement after the transaction.
Need cash? Know the cost before you use your credit limit.
A quick cash advance can come with a higher cost than expected. Check your card terms and repayment plan before withdrawing.
FinancePilot provides general educational information and does not provide personalised financial, credit, lending, investment, tax or legal advice. Credit card cash withdrawal fees, cash advance limits, interest rates and repayment terms vary by issuer and card product. Always check your latest credit card statement, card agreement and schedule of charges before making a financial decision.