Yes, you can withdraw cash at an ATM with a credit card, but it costs more than a debit card and the interest starts immediately

Most credit cards let you take cash out at ATMs, but the transaction is called a cash advance and it works differently from a regular purchase. The moment you withdraw the money, your card issuer charges you a fee (usually 3 to 5 percent of the amount) and begins charging interest on that cash at a higher rate than your regular purchase APR. There is no grace period — interest accrues from day one, even if you pay the balance in full when your statement arrives.

The ATM itself may also charge a fee if it is not owned by your card issuer's bank. You could pay $5 to $10 just to get $100 out, depending on where you withdraw and which card you use.

Key Takeaways

  • Credit card cash advances charge a separate fee (typically 3 to 5 percent) plus a higher interest rate than purchases, with interest starting immediately.
  • ATM operators may charge an additional fee of $2 to $5 per transaction if the machine is not part of your card issuer's network.
  • You can find ATMs that belong to your card issuer by checking your bank's website or app, which usually lists surcharge-free locations.
  • The total cost of a cash advance can easily exceed 10 percent of the amount withdrawn when you add the cash advance fee, ATM fee, and interest together.

How the cash advance fee and interest rate work

When you take a cash advance, your credit card company charges a cash advance fee at the time of withdrawal. This fee is a percentage of the amount you withdraw — commonly 3 percent, 4 percent, or 5 percent — and it is added to your balance immediately. A $200 withdrawal with a 4 percent fee costs you $8 right away.

The interest rate on cash advances is separate from your regular purchase APR and is almost always higher. If your purchase APR is 18 percent, your cash advance APR might be 24 or 28 percent. Unlike purchases, there is no grace period: interest starts accruing the day you withdraw the money. If you carry the balance for a month, you will owe interest on top of the fee.

Your card issuer reports the cash advance separately on your statement, so you can see exactly what you paid in fees and interest.

Finding an ATM that won't charge you an extra fee

Your card issuer's own bank operates a network of ATMs where you can withdraw cash without paying an ATM operator fee. Visa, Mastercard, and American Express each maintain networks of partner ATMs as well. You can search for surcharge-free ATMs on your card issuer's website or mobile app — most have a locator tool where you enter your zip code or city.

If you use an ATM outside your issuer's network, the ATM operator will charge you a fee, typically $2 to $5. Some ATMs in convenience stores, bars, or casinos charge even more. The fee appears on your screen before you complete the transaction, so you can cancel if the cost is too high.

Planning ahead to use a network ATM can save you $5 to $10 per withdrawal, which matters if you need cash regularly.

The total cost of a cash advance compared to other ways to get cash

A $200 cash advance can cost you significantly more than you might expect. If you withdraw from an out-of-network ATM with a 4 percent cash advance fee and a $3 ATM fee, you have already paid $11. If you carry the balance for 30 days at a 25 percent APR, you will owe roughly $12 more in interest. Total cost: about $23 on a $200 withdrawal — roughly 11 percent of the amount you took out.

By comparison, using a debit card at the same ATM costs you only the $3 ATM fee (or nothing if it is your bank's ATM). Asking a store cashier for cash back when you make a purchase costs nothing. Borrowing from a friend or family member costs nothing. A payday loan, while predatory, is sometimes cheaper than a credit card cash advance if you repay it within two weeks.

Cash advances make sense only when you have no other option and you repay the balance within a few days.

How to request a cash advance if your card does not have a PIN

Most credit cards come with a PIN (personal identification number) that you can use at ATMs. If your card did not come with one, or you have forgotten it, you can request a PIN from your card issuer. Call the number on the back of your card and ask for a PIN, or use your card issuer's mobile app to set one up. The process usually takes a few minutes, though some issuers mail a PIN to your address, which can take a week or more.

Once you have a PIN, you can use any ATM that accepts your card brand (Visa, Mastercard, American Express, or Discover). Insert your card, enter your PIN, select "Withdrawal" or "Cash Advance," enter the amount, and complete the transaction. The fee and interest terms apply immediately.

What happens if you cannot repay the cash advance

If you carry a cash advance balance, it accrues interest at your card's cash advance APR every day until you pay it off. Your monthly minimum payment will cover some of the balance, but most of it will go toward interest, especially in the first few months. The balance grows slowly if you are only making minimum payments.

If you miss a payment on a cash advance, your card issuer will report it to the credit bureaus and may increase your APR further. A late payment also damages your credit score, making it harder to borrow money in the future at reasonable rates.

If you are struggling to repay, contact your card issuer to ask about a hardship program or a lower interest rate. Some issuers will negotiate, especially if you have been a customer for a long time.

Frequently Asked Questions

Can I use a credit card at any ATM?

You can use a credit card at any ATM that displays your card brand's logo (Visa, Mastercard, American Express, or Discover). However, using an ATM outside your card issuer's network will trigger an ATM operator fee. Your card issuer's own ATMs and partner network ATMs are usually surcharge-free.

Is a cash advance the same as a balance transfer?

No. A cash advance withdraws money from your credit line and deposits it into your bank account or wallet. A balance transfer moves debt from one credit card to another. Both have fees and higher interest rates than regular purchases, but they work differently and appear separately on your statement.

What is the maximum amount I can withdraw as a cash advance?

Your card issuer sets a cash advance limit, which is usually lower than your overall credit limit. You can find your cash advance limit in your card's terms and conditions or by calling the issuer. Some cards allow you to withdraw up to 50 percent of your credit limit; others allow less.

Will a cash advance show up on my credit report?

A cash advance does not appear as a separate item on your credit report. However, it increases your credit card balance, which increases your credit utilization ratio. If your utilization rises above 30 percent of your credit limit, it can lower your credit score slightly.

Can I get a cash advance without a PIN?

Some credit card issuers allow you to request a cash advance in person at a bank branch or through a teller, without using an ATM. You will need your card and a form of identification. This option is less common than ATM withdrawals, so call your card issuer to ask whether it is available.