You can get cash from a credit card through a cash advance at any ATM, at a bank teller window, or by using convenience checks your card issuer mails you. All of these methods work, but they come with steep costs: fees of 3% to 5% on every withdrawal, interest rates several percentage points higher than your regular purchase rate, and no grace period, meaning interest starts accruing the moment you take the cash. Before you proceed, it’s worth understanding exactly what you’ll pay and whether a cheaper option exists.
Cash Advance at an ATM
The fastest way to get cash from a credit card is at an ATM. Here’s the process:
- Insert your credit card into the ATM.
- Enter your credit card PIN.
- Select “cash withdrawal” or “cash advance.”
- If prompted, choose the “credit” option rather than checking or debit.
- Enter the dollar amount you want.
- Accept any fees displayed on screen.
- Collect your cash and receipt.
You’ll need a PIN to complete the transaction. If you’ve never set one up or don’t remember it, call the number on the back of your card and request one. Some issuers can give you a temporary PIN immediately, while others mail it separately, which can take a week or more. Plan ahead if you think you might need this option.
The ATM itself may also charge a surcharge on top of the fees your card issuer charges, so you could end up paying two separate fees for one withdrawal.
Cash Advance at a Bank
You can also walk into a bank and request a cash advance from a teller. Hand over your credit card, show a valid ID, and tell them the amount you’d like. This works at most major banks, not just the one that issued your card. The advantage is that you can sometimes withdraw a larger amount than an ATM would allow in a single transaction. The fees and interest are the same as an ATM cash advance.
Convenience Checks
Many credit card companies periodically mail convenience checks tied to your account. You can write one of these checks to yourself, deposit it in your bank account, and access the funds once the check clears. It feels like writing a regular check, but it functions as a cash advance loan against your credit line. That means it carries the same higher interest rate, the same transaction fee (typically a percentage of the check amount), and the same lack of a grace period. If you don’t plan to use them, shredding these checks is a good idea to prevent fraud.
What a Cash Advance Actually Costs
Cash advances are one of the most expensive ways to borrow money. The costs stack up in three ways.
Transaction fee: Your issuer charges 3% to 5% of the amount you withdraw, or a flat minimum (often around $10), whichever is greater. So a $500 cash advance at 5% costs you $25 in fees before interest even enters the picture.
Higher interest rate: The APR on cash advances is typically several percentage points above your regular purchase rate. If your purchase rate is 22%, your cash advance rate might be 27% or higher. Check your card’s terms to see the exact number.
No grace period: This is the part that catches most people off guard. With normal credit card purchases, you get a grace period of roughly 21 to 25 days before interest kicks in. Cash advances have no grace period at all. Interest starts accumulating the day of the transaction. Even if you pay the full balance by your next due date and had a zero balance going in, you’ll still owe interest on the cash advance for every day it sat on your account.
Your Cash Advance Limit
You can’t withdraw your entire credit limit as cash. Your cash advance limit is a separate, smaller number, typically a percentage of your overall credit line. If you have a $10,000 credit limit, your cash advance limit might be $2,000 or $3,000. You can find your specific limit on your monthly statement or by logging into your online account. Any cash advance you take also counts against your total credit limit, reducing how much you have available for regular purchases.
Transactions That Count as Cash Advances
Some transactions that don’t look like cash advances get treated as one by your card issuer, triggering the same higher fees and interest. Buying money orders with a credit card, purchasing lottery tickets, sending wire transfers, and loading prepaid debit cards are common examples. Even certain peer-to-peer payment app transactions can be coded as cash advances depending on how the merchant processes them. If you’re unsure whether a transaction will be treated as a purchase or a cash advance, check with your issuer before completing it.
Using Payment Apps as an Alternative
Some people try to use apps like Venmo or PayPal to move credit card funds to a bank account. The idea is to send money to a friend or second account using your credit card, then transfer it to your bank. This technically works, but it’s not free. Venmo charges 3% when you fund a payment with a credit card. PayPal charges 2.9% plus a small fixed fee. On top of that, your credit card issuer may still classify the transaction as a cash advance, adding their own 3% to 5% fee. You could end up paying 6% to 8% in combined fees before interest.
Transferring from the app to your bank account adds either a short wait (one to three days for free) or another fee of 1.75% for an instant transfer. Venmo also caps transactions at $299.99 until you complete identity verification, and even verified users are limited to about $7,000 over a rolling seven-day period. This route rarely saves money compared to a straightforward ATM cash advance.
Cheaper Ways to Get Cash
If you have any alternative, it’s almost always cheaper than a credit card cash advance. A few options worth considering:
- Debit card withdrawal: If you have money in a checking account, pulling it out with your debit card costs nothing at an in-network ATM.
- Personal loan: Even a personal loan with a double-digit interest rate is often cheaper than a cash advance once you factor in the upfront fee and immediate interest accrual. Many online lenders can fund a loan within one to three business days.
- Buy the item on your credit card directly: If you need cash to pay for something specific, see if the merchant accepts credit cards. A regular purchase keeps your normal interest rate and preserves your grace period.
- Borrow from family or friends: Not always comfortable, but it carries no interest or fees.
Cash advances make the most sense as a true last resort, when you need physical cash immediately and have no other source. If you do take one, pay it off as quickly as possible. Every day the balance sits on your account adds interest, and there’s no free window to pay it down.