The main ways to get money off a credit card
You can move money from a credit card to your bank account or pay for something with it in four ways: a cash advance (withdraw cash at an ATM or bank), a balance transfer (move debt from one card to another), a convenience check (write a check drawn against your credit line), or a peer-to-peer payment app (send money to someone else's bank account through services like PayPal or Venmo). Each one costs differently and works in a different situation.
The catch: getting cash off a credit card is almost always more expensive than using a debit card or bank transfer. Cash advances charge an upfront fee (usually 3 to 5 percent of the amount) plus a higher interest rate than regular purchases. Balance transfers charge a fee (typically 3 to 5 percent) but let you move existing debt to a card with a lower rate. Convenience checks work like a cash advance but may have different terms. Payment apps don't charge you directly, but the person receiving the money might pay a fee, and you're still borrowing at credit card interest rates.
Key Takeaways
- Cash advances charge an upfront fee of 3 to 5 percent plus a higher interest rate than purchases, and interest starts accruing immediately with no grace period.
- Balance transfers let you move debt to a lower-rate card but charge a one-time fee of 3 to 5 percent and work only if you're moving existing debt, not getting new cash.
- Convenience checks function like cash advances and carry the same fees and interest rates, though some cards offer different terms for checks than for ATM withdrawals.
- Payment apps like PayPal or Venmo let you send money to someone else's account, but you're still borrowing at credit card rates and the recipient may pay a fee.
- If you need cash for an emergency, a personal loan or credit union loan usually costs less than any credit card method.
Cash advances: the most expensive way to get cash
A cash advance means withdrawing money directly from your credit card at an ATM, bank teller, or through a cash-like transfer service. The card issuer charges a fee upfront—typically 3 to 5 percent of the amount you withdraw, with a minimum fee of $5 to $10. So if you withdraw $500, you might pay $15 to $25 just to get the cash.
Interest starts accruing the moment you withdraw the money. Unlike purchases, which have a grace period (usually 21 to 25 days before interest kicks in), cash advances charge interest from day one. The interest rate is also higher than your purchase rate—often 2 to 3 percentage points above what you pay on regular charges. If your purchase APR is 18 percent, your cash advance APR might be 21 percent.
Your payment goes toward the lowest-interest debt first. If you have both purchases and a cash advance on the same card, your payment covers the purchase balance before it touches the cash advance, so the advance keeps accruing interest longer. Check your card's terms to confirm the payment order.
Balance transfers: moving debt to a lower rate
A balance transfer moves an existing balance from one credit card (or sometimes a loan) to another card, usually one offering a lower interest rate. You don't get cash—you're moving debt. The receiving card charges a balance transfer fee, typically 3 to 5 percent of the amount transferred, though some cards offer 0 percent for the first 60 to 120 days.
The math works like this: if you transfer $5,000 at a 3 percent fee, you pay $150 upfront, and your new balance is $5,150. If the new card offers 0 percent APR for 12 months, you pay no interest during that period—only the $150 fee. After the promotional period ends, the regular APR kicks in. This makes sense if you're carrying a high-interest balance and can pay it down during the 0 percent window.
Balance transfers don't give you cash in hand. They're useful only if you're already carrying debt on another card and want to move it to a better rate. If you need actual money, this won't help.
Convenience checks and how they differ from cash advances
Some credit card issuers send convenience checks that you can write against your credit line. You write a check to yourself or someone else, deposit it, and the funds appear in your bank account. The card treats it like a cash advance—charging a fee and a higher interest rate—but the terms may vary slightly from ATM withdrawals on the same card.
Check your card's disclosure documents (the terms and conditions you received when you opened the account) to see what fee and APR apply to convenience checks specifically. Some cards charge the same 3 to 5 percent fee as a cash advance; others charge a flat fee or a different percentage. Interest accrues from the date you deposit the check, not the date you write it.
Convenience checks are useful if you need to pay a business that doesn't take credit cards directly—you can write a check instead of withdrawing cash. But the cost is the same as a cash advance, so they're not cheaper.
Using payment apps to send money from your card
Apps like PayPal, Venmo, Square Cash, and Apple Pay let you send money from your credit card to someone else's bank account or to another person's app account. You're not getting cash yourself; you're sending it to someone else. The card issuer treats this as a cash advance in most cases, charging the same 3 to 5 percent fee and higher interest rate.
Some payment apps charge the sender a fee if you use a credit card (typically 2 to 3 percent), on top of the credit card's cash advance fee. If you send $500 via PayPal with a credit card, you might pay $10 to $15 in PayPal fees plus $15 to $25 in cash advance fees—a total of $25 to $40 to move $500. Using a debit card or bank transfer through the same app costs nothing or much less.
Check your card issuer's policy before using a payment app. Some cards now code transfers to payment apps as regular purchases rather than cash advances, which means no upfront fee and a lower interest rate. Call the number on the back of your card and ask whether transfers to PayPal, Venmo, or other apps count as purchases or cash advances.
Comparing the cost of each method
| Method | Upfront Fee | Interest Rate | Grace Period | Best For |
|---|---|---|---|---|
| Cash advance (ATM) | 3–5% ($5–$10 minimum) | Higher than purchases (often 20–25%) | None; interest starts immediately | Emergency cash when no other option exists |
| Convenience check | 3–5% (varies by card) | Same as cash advance or varies | None; interest starts immediately | Paying a business that doesn't take cards |
| Balance transfer | 3–5% (sometimes 0% promotional) | 0% for promotional period, then regular APR | 0% period (60–120 days typical) | Moving existing high-interest debt to a lower rate |
| Payment app (credit card) | 3–5% card fee + 2–3% app fee | Higher than purchases | None; interest starts immediately | Sending money to someone else; rarely the cheapest option |
Cheaper alternatives to getting money off a credit card
If you need cash, a personal loan or credit union loan almost always costs less than a credit card cash advance. A personal loan from a bank or online lender charges a one-time origination fee (1 to 8 percent) and an APR typically between 6 and 36 percent, depending on your credit score. A credit union loan is often cheaper still, with rates as low as 6 to 18 percent and lower fees. Both take a few days to a week to fund, but the interest savings are worth the wait if you're not in an immediate crisis.
If you have a 401(k), some plans allow you to borrow against your balance at a low interest rate (usually prime rate plus 1 percent). You repay the loan to yourself, not a bank, so the interest goes back into your account. This is cheaper than a cash advance but comes with the risk that if you leave your job, the loan may be due immediately.
A line of credit from your bank (if you have one) or a home equity line of credit (if you own a home) typically charges lower rates than a credit card cash advance. These take longer to set up but are worth exploring if you anticipate needing cash regularly.
What happens if you can't pay back a cash advance
If you don't pay off a cash advance, the interest compounds daily at the higher cash advance rate. A $500 cash advance at 21 percent APR costs about $8.75 in interest the first month if you make no payment. After six months of no payment, you've paid roughly $52 in interest alone, and the balance is now $552. After a year, interest alone has cost you about $110.
If you fall behind on payments, the card issuer reports the late payment to the credit bureaus after 30 days, which damages your credit score. After 180 days of non-payment, the card issuer may close the account and sell the debt to a collection agency. At that point, you may face calls from collectors and a potential lawsuit.
If you're struggling to pay back a cash advance, contact your card issuer and ask about a hardship program. Many issuers offer temporary interest rate reductions or payment plans for customers in financial difficulty. This won't erase the debt, but it can lower the cost while you work toward repayment.
Frequently Asked Questions
Can I use a credit card cash advance to pay another credit card bill?
Technically yes, but it's expensive. You'd pay a 3 to 5 percent cash advance fee, then use that cash to pay the other card. Most card issuers now code direct transfers between cards as cash advances, so you can't avoid the fee by trying to move money electronically. If you're trying to pay down debt, a balance transfer is cheaper because it moves the balance directly without the intermediate step of withdrawing cash.
Do all credit cards charge the same cash advance fee?
No. Fees range from 3 to 5 percent, and some cards have a flat fee instead of a percentage. Check your card's terms document or call the issuer to find out your specific fee. Premium cards sometimes offer lower cash advance fees (2 percent) as a cardholder benefit, though they charge an annual fee.
What's the difference between a cash advance and a purchase on a credit card?
A purchase has a grace period (usually 21 to 25 days) before interest accrues, a lower APR, and your payment applies to the purchase first. A cash advance charges interest immediately, has a higher APR, and your payment applies to purchases before the advance. Cash advances also charge an upfront fee; purchases don't.
Can I get a cash advance from a credit card at any ATM?
Most ATMs accept credit cards, but your card issuer may charge an additional ATM operator fee (usually $2 to $3) on top of the cash advance fee. Bank ATMs (especially your own bank's ATM) sometimes waive the operator fee if you're a customer. Always check the ATM screen before confirming the withdrawal—it will show all fees before you complete the transaction.
Is a balance transfer the same as a cash advance?
No. A balance transfer moves existing debt from one card to another and charges a one-time fee. A cash advance withdraws cash and charges both a fee and immediate interest. Balance transfers are useful for managing debt; cash advances are for getting cash. You can't use a balance transfer to get money in your bank account.