Yes, you can withdraw cash from an ATM with a credit card, but it costs you money and works differently than a debit card

Most credit cards let you take cash out at an ATM, but the bank treats this as a cash advance rather than a regular purchase. That distinction matters because cash advances charge higher interest rates, start accruing interest immediately (no grace period), and often include an upfront fee just for taking the money out. You'll pay for the convenience in ways a debit card withdrawal would not.

The process itself is straightforward: insert your card, enter your PIN, select "cash advance" or "withdrawal," and take the money. But before you do it, you should understand what it will cost you and whether a cheaper alternative exists.

Key Takeaways

  • Cash advances from credit cards charge a fee (usually 3 to 5 percent of the amount) plus a higher interest rate than regular purchases, starting immediately.
  • You can withdraw only up to your cash advance limit, which is often lower than your overall credit limit and is set by your card issuer.
  • Interest on cash advances begins accruing the day you withdraw the money, with no grace period like you get on purchases.
  • Cheaper alternatives include using a debit card, withdrawing cash back at a store checkout, or asking a friend to lend you cash.

What happens when you take a cash advance

When you withdraw cash using your credit card, the card issuer treats it as a loan to you, separate from your regular credit balance. This is why the terms are worse. Your card issuer charges you a cash advance fee upfront — typically 3 to 5 percent of the amount you withdraw, though some cards charge a flat fee like $10 instead. A $200 withdrawal might cost you $6 to $10 just to get the money.

On top of the fee, you pay cash advance interest, which is higher than the rate you pay on regular purchases. Where a purchase might carry 18 percent APR, a cash advance could be 25 or 28 percent. The interest clock starts the moment you withdraw the money — there is no grace period. If you take out $200 and pay it back in two weeks, you still owe interest for those two weeks.

The cash advance also counts against your credit utilization, which affects your credit score. If your credit limit is $1,000 and you take a $200 cash advance, your utilization jumps to 20 percent, just as it would with a purchase.

Your cash advance limit is separate from your credit limit

Your card issuer sets a cash advance limit that is usually lower than your overall credit limit. You might have a $5,000 credit limit but only a $1,500 cash advance limit. You cannot exceed that cash advance limit, even if you have available credit remaining on the card.

You can find your cash advance limit in your cardholder agreement, on your online account, or by calling the customer service number on the back of your card. If you need to know before you go to the ATM, calling ahead takes two minutes and prevents a declined transaction.

Which ATMs let you withdraw with a credit card

Most ATMs that display the Visa or Mastercard logo will accept your credit card for a cash advance. Bank ATMs, independent ATMs in convenience stores, and ATMs in other countries usually accept credit cards. However, some ATMs — particularly those inside bank branches — may decline credit card transactions and only accept debit cards.

The ATM will charge you a fee on top of your card issuer's fee. An out-of-network ATM might charge $2 to $4 just to use the machine. So a $200 withdrawal could cost you $6 to $10 from your card issuer plus $2 to $4 from the ATM operator — $8 to $14 total before interest.

Cheaper ways to get cash when you need it

If you have a debit card linked to a bank account, use that instead. Debit card withdrawals at your bank's ATM are free, and even out-of-network withdrawals usually cost less than a credit card cash advance. If you do not have a debit card, ask for cash back at a grocery store, pharmacy, or other retailer when you make a purchase. Most stores let you withdraw $20 to $100 with no fee.

If you are in a genuine emergency and have no other option, a cash advance is available. But if you have time to plan, a personal loan from a bank or credit union typically charges less interest than a credit card cash advance. Some credit unions offer small loans at rates under 10 percent APR.

How cash advances affect your credit score

A cash advance shows up on your credit report as part of your credit utilization — the percentage of your available credit you are using. If you take a large cash advance, your utilization jumps, and your credit score may drop temporarily. The effect is usually small if your utilization was already low, but it can be noticeable if you were already using most of your credit.

The cash advance itself does not appear as a separate item on your credit report. Your lender reports only your overall balance and payment history. However, if you carry the cash advance balance and miss a payment, that missed payment will damage your score.

Paying back a cash advance

When you make a payment on your credit card, the payment goes toward your lowest-interest balance first. If you have both regular purchases and a cash advance, your payment covers the purchase balance before it covers the cash advance. This means the high-interest cash advance sits on your account longer, costing you more in interest.

To pay off a cash advance quickly, you can call your card issuer and ask them to apply your next payment directly to the cash advance balance. Some issuers will do this; others will not. If yours will not, the fastest way to stop the interest is to pay the entire card balance in full, which clears both the purchase and cash advance at once.

Frequently Asked Questions

Can I use a credit card at any ATM?

Most ATMs that display your card's logo (Visa, Mastercard, American Express) will accept it for a cash advance. Some ATMs inside bank branches may decline credit cards and only accept debit cards. Check the ATM screen before you insert your card — it will tell you what it accepts.

What's the difference between a cash advance and a regular purchase?

A cash advance charges a higher interest rate, includes an upfront fee, and starts accruing interest immediately with no grace period. A regular purchase has a lower rate and a grace period (usually 21 days) before interest kicks in. Cash advances are also reported separately to your credit utilization.

Can I withdraw my entire credit limit as a cash advance?

No. Your cash advance limit is usually much lower than your credit limit — often 20 to 30 percent of it. You can only withdraw up to that cash advance limit, even if you have more available credit. Check your cardholder agreement or call your issuer to find out your specific limit.

Will a cash advance hurt my credit score?

A cash advance can temporarily lower your score because it increases your credit utilization. The effect is usually small and temporary. If you carry the balance and miss a payment, the missed payment will hurt your score more than the cash advance itself.

What if the ATM declines my credit card?

The ATM may decline because you have reached your cash advance limit, the ATM does not accept credit cards, or your card issuer has blocked cash advances on your account. Call your card issuer to find out which one it is. Some people ask their issuer to lower or disable their cash advance limit to prevent accidental use.