What is a Cash Advance Credit Card? How Does It Work?

Are you looking for some extra money? Some money for the sudden urge or for some unforeseen expenses. If you then you have landed on the best page available to you. This article will probably solve your every query regarding Cash advance credit cards.

You should ensure all the aspects of lending cash from a credit card. Therefore, we are here to assist you. You just need to go with the flow of the article to get the proper insight into credit card cash advances.

What is a Cash Advance on a Credit Card? 

This option of lending money lets the borrower take some money against the limits. The user also needs to pay extra charges for it. This is a very short-term loan that the borrower needs to pay back in a certain period of time. It is a Quick option but also expensive. You need to be careful while using this. You can take the money via ATM, convenience check, and in person. 

How Does a Cash Advance Credit Card work?

Sometimes, there is no option to pay through credit cards, and these certain times you need to make payment via cash. And if you run out of it then cash advance could be a savior for you.

It is quite similar to taking money from your debit card but also varies in multiple ways as it comes with higher interest rates. This money will add to your credit card balance. What you should have is the card and the pin to take out some money in your time of need. 

How to Get Cash Advance from Credit Card?

Depending on your need and the issuers’ convenience. You can take the advance through whatever medium you may find appropriate for you. We are enlisting a few methods for you. 

• Through ATM

You can use the easiest and quickest cash takeaway through an ATM.  What you all need is the card and PIN to take the advance. Go to any nearby ATM and withdraw the cash as per your need. You need to keep in mind that these withdrawals have some extra charges and fees.

• Through Convenience Check

These are the blank cheques that have been provided to you at the time of card issuance. This check can help you to get money but not as immediately as ATMs do. This is not a good option as there are some grace periods when the interest rates can be more than higher which may result in money loss to you.

• In-person 

Last option that you may try in the urgent need of money. That is the bank itself. You need to get to the nearest branch to have the money. If you are not having your credit card physically with you then this option can work out. Make sure that you have got all the interest rates and terms associated with the credit card.

Cost of Getting Credit Card Cash Advance

Getting advance money from a credit card is one of the most expensive lending methods. You need to pay super extra for the simple advances. So, It would be better if you use some other alternatives to get the cash. All these charges include.

• A Transaction Fee

Every transaction carries such fees it is basically a service charge that your card issuer charged on the payment. This may vary from institution to institution. 

• An APR

When it comes to credit card options you need to give an annual percentage rate that is similar to the interest rate on the amount. Before you take out the advance you must calculate all the APR and interest rates. As this can be thrice higher with no grace period.  

• No Grace Period

The interest rates will be counted from the time of acquiring the money. This will charge you high interest and surely result in money loss. 

Best Credit Credit Card for Advance

We have compiled the three best credit card options for cash advances for you. We have compared their interest rates and APR to make you pay less.

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• DCU Visa Platinum Secured Credit Card

This card comes with a low-interest rate. But as it is a secured card that means you need to give some security before you get the card. This card comes with a number of benefits. There are very less interest rates and come with no APR. This makes it the best out of the rest.

• PenFed Gold Visa Card

This is another option you can have for cash advances as this provides you with a low-interest rate and also a low annual APR which ranges from 7.49% to 17%. The only condition with the card is your FICO score which must be higher than 750. If it is then you may get this track easily.

• DCU Visa Platinum Rewards Credit Card

This card needs a higher credit score if you have the same then you must enjoy its delightful facilities. We are saying this because it comes with low-interest rates and zero APR and also zero transaction fees.

Frequently Asked Questions (FAQs)

Q1. Can I get a cash advance from my credit card?

Yes, you can take the credit card cash advance from your credit card via ATM, convenience check, and through the nearest bank.

Q2. Do all credit cards give cash advances?

Yes, most credit cards provide this option of lending money but this is the most expensive money lending you will ever come across. 

Q3. Will I get a Chase credit card cash advance?

Yes, you can get credit card advances from any ATM or any Chase bank branch near you.

Conclusion 

We have provided you with a detailed theory of credit card cash advances. You need to be extra careful while using cash advances as this can result in more money loss than you have borrowed. Make sure that you have got all the terms and conditions before you may opt for this option.