Yes, you can get a cash advance on most credit cards, but it costs more than a regular purchase

A cash advance is when you borrow money directly from your credit card issuer and receive it as cash. You can do this at an ATM using your card's PIN, at a bank teller's window, or through a cash advance check that comes with your card. The money appears in your account within one to three business days, depending on your bank.

The catch is that cash advances are expensive. You pay a cash advance fee (usually 3 to 5 percent of the amount you withdraw), a higher interest rate than purchases (often 5 to 10 percentage points above your regular APR), and interest starts accruing immediately—there is no grace period like there is for purchases. If you borrow $500, you might pay $15 to $25 just to get the cash, plus interest from day one.

Most credit cards allow cash advances up to a limit set by your issuer, which is often lower than your total credit limit. You can find your cash advance limit in your card's terms and conditions or by calling the customer service number on the back of your card.

Key Takeaways

  • You can withdraw cash from an ATM, bank teller, or through a cash advance check, and the money arrives within one to three business days.
  • Cash advance fees typically run 3 to 5 percent of the amount withdrawn, on top of a higher interest rate that starts immediately.
  • Your cash advance limit is separate from and usually lower than your regular credit limit.
  • Interest on a cash advance has no grace period, so you begin paying interest the moment you withdraw the money.
  • Other options like personal loans, payday loans, or borrowing from family often cost less than a credit card cash advance.

How to get a cash advance at an ATM

The simplest method is to use your credit card at any ATM that displays your card's logo. Insert your card, enter your PIN (the same one you use for debit), select "cash advance" or "withdraw cash," and choose your amount. The ATM will show you the fee before you confirm the transaction.

Not all ATMs accept credit card cash advances—some are debit-only machines. If one declines your card, try another ATM or go to a bank branch. ATMs at your card issuer's own bank usually charge no additional fee beyond what the card issuer already charges, while out-of-network ATMs may add their own surcharge on top of your card's fee.

Getting a cash advance from a bank teller

You can walk into any bank branch—including banks where you do not have an account—and ask for a cash advance on your credit card. Bring your card and a photo ID. The teller will process the transaction, charge you the fee, and hand you cash on the spot.

Bank tellers can sometimes process larger amounts than ATMs allow, and you avoid ATM surcharges. However, you are limited to the bank's business hours, and some banks may decline to process cash advances for customers who do not have accounts with them.

Cash advance checks and balance transfers

Your credit card issuer may send you cash advance checks in the mail. These work like regular checks—you write one out to yourself or a payee, deposit it in your bank account, and the amount is charged to your credit card as a cash advance. The same fees and interest rates apply as with ATM withdrawals.

Do not confuse a cash advance with a balance transfer. A balance transfer moves debt from one credit card to another (usually at a lower introductory rate), while a cash advance puts cash in your pocket. Balance transfers have their own fees and terms, and they are handled differently by your card issuer.

What happens after you withdraw the cash

The cash advance amount is added to your credit card balance immediately. Unlike a purchase, which may have a 21- to 25-day grace period before interest kicks in, interest on a cash advance starts accruing the day you withdraw it. Your monthly statement will show the cash advance as a separate line item from your regular purchases.

When you make a payment to your credit card, the payment is typically applied first to your lowest-interest debt (usually purchases) and last to your highest-interest debt (the cash advance). This means if you carry a balance, your cash advance interest compounds while you pay down purchases first. To avoid this, pay off the cash advance before making any other charges.

Why a cash advance costs so much

Credit card companies charge more for cash advances because they see them as riskier than purchases. With a purchase, the merchant guarantees the transaction and handles disputes. With a cash advance, the issuer has no such protection—you have the cash and they have only your promise to repay. The higher fee and interest rate reflect that risk.

Additionally, cash advances do not earn rewards points or cashback like purchases do. If your card offers 2 percent cashback on all purchases, you get nothing on a cash advance, making the true cost even higher.

Cheaper alternatives to a credit card cash advance

Before you take a cash advance, consider other options. A personal loan from a bank or credit union often has a lower interest rate and no upfront fee, especially if you have decent credit. A payday loan is faster but usually more expensive than a cash advance, so compare the total cost. Borrowing from family or friends costs nothing if they agree, though it carries relationship risk.

If you need cash because you are short on money, a cash advance can spiral into debt quickly because of the high interest rate and immediate accrual. A personal loan spreads the cost over a fixed term with a predictable monthly payment, making it easier to budget and pay off.

Frequently Asked Questions

What is the difference between a cash advance and a regular credit card purchase?

A purchase is a transaction with a merchant that appears on your statement and usually has a grace period before interest charges. A cash advance is cash you borrow directly from your card issuer, with a fee and interest that start immediately. Purchases also earn rewards; cash advances do not.

Can I get a cash advance if my credit is bad?

If you already have a credit card, you can get a cash advance up to your card's cash advance limit regardless of your current credit score. Your limit was set when you opened the account. However, if you do not have a credit card yet, bad credit makes it harder to get approved for one in the first place.

How long does a cash advance take to show up in my bank account?

ATM withdrawals are instant. Bank teller cash advances are also immediate. Cash advance checks take one to three business days to clear once you deposit them, depending on your bank's processing time and the amount.

Will a cash advance hurt my credit score?

A cash advance itself does not hurt your score, but carrying a high balance on your card does. If the cash advance pushes your card's balance close to your credit limit, your credit utilization ratio increases, which can lower your score. Paying it off quickly minimizes this effect.

Can I get a cash advance on a debit card?

No. Debit cards draw from money you already have in your account, so there is no borrowing involved. If you need cash from a debit card, you simply withdraw it from an ATM or teller window with no fee or interest charge (unless the ATM operator charges a surcharge).