You can get a cash advance from a credit card at any ATM, at a bank branch, or by using convenience checks your card issuer mails you. The process takes just a few minutes, but the costs are steep: expect a fee of 3% to 5% on the amount you withdraw, plus a higher interest rate than you pay on regular purchases, with no grace period before interest starts accruing.
What You Need Before You Start
To withdraw cash from a credit card at an ATM, you need a PIN (personal identification number) linked to that card. This is not the same as your debit card PIN. If you never set one up, call the number on the back of your card or log into your online account to request one. Some issuers will let you create a PIN instantly online, while others mail it to you, which can take a week or more. If you need cash today, plan accordingly.
You also need to know your cash advance limit, which is separate from your overall credit limit and almost always lower. Your issuer caps it at a percentage of your total credit line. A card with a $7,000 credit limit might only allow $400 to $500 in cash advances. You can find your specific limit on your monthly statement, in your online account, or by calling your issuer.
Getting Cash at an ATM
This is the most common method. Insert your credit card into the ATM, enter your PIN, and select the “cash withdrawal” or “cash advance” option. If the machine asks you to choose between checking, debit, or credit, select credit. Enter the dollar amount you want, confirm that you accept any fees the ATM displays, and collect your cash.
Keep in mind that you may see two fees on this transaction: the cash advance fee your credit card issuer charges (3% to 5% of the amount, or $10, whichever is higher) and a separate ATM operator fee if you’re using a machine that doesn’t belong to your card’s network. On a $500 advance, the issuer fee alone would run $15 to $25.
Getting Cash at a Bank or With Convenience Checks
If you’d rather skip the ATM, you can walk into a bank that works with your card’s network and request a cash advance at the teller window. Bring your credit card and a government-issued ID. The teller processes it similarly to a withdrawal, and you’ll pay the same cash advance fee your issuer charges.
Some credit card companies also mail convenience checks tied to your account. Writing one of these checks to yourself or to “Cash” and depositing or cashing it counts as a cash advance. The same fees and interest rules apply, so read the terms printed on the check insert before using one.
How Interest Works on Cash Advances
This is where cash advances get expensive. When you make a normal purchase with your credit card, you typically get a grace period of 21 to 25 days to pay the balance before interest kicks in. Cash advances have no grace period. Interest starts accruing the moment the transaction goes through.
The interest rate on cash advances is also higher than your regular purchase APR. While purchase rates vary by card and creditworthiness, the cash advance APR is often several percentage points above whatever you’re paying on everyday spending. That combination of no grace period and a higher rate means the cost adds up quickly, especially if you carry the balance for more than a few days.
When you make a payment on your card, issuers generally apply it to the lowest-rate balance first (your purchases) before putting anything toward the higher-rate cash advance balance. That means if you’re also carrying a purchase balance, your cash advance could sit there accumulating interest for months. The fastest way to stop the bleeding is to pay off the entire card balance, not just the minimum.
How It Affects Your Credit
A cash advance doesn’t show up as a separate line item on your credit report. It simply adds to your credit card balance. But because of the upfront fee and immediate interest, your balance can climb faster than it would with a regular purchase. A higher balance raises your credit utilization ratio (the percentage of your available credit you’re using), which is one of the biggest factors in your credit score. If the advance pushes your utilization above 30%, you could see your score dip until you pay it down.
Lower-Cost Alternatives Worth Considering
Before you take a cash advance, it’s worth checking whether a cheaper option can cover the same need. If you have a debit card, withdrawing from your checking account costs nothing beyond a potential ATM fee. If you’re short on funds until payday, apps like Earnin, Brigit, and MoneyLion let you access a portion of your upcoming paycheck early, often with no interest and minimal fees. MoneyLion’s Instacash feature, for example, offers advances up to $500 with no interest or monthly fees, as long as you have an active bank account with regular income deposits.
A small personal loan from your bank or credit union is another option. Even at a moderate interest rate, a personal loan will almost certainly cost less than a cash advance once you factor in the upfront fee, higher APR, and immediate interest accrual. If you only need a few hundred dollars for a week or two, the total cost difference can be significant. A $500 cash advance at 5% fee plus 25% APR held for 30 days costs roughly $35. The same amount from a paycheck advance app could cost nothing.