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

Most credit cards let you take cash out at an ATM, but the process and the cost are different from what you might expect. When you use a credit card at an ATM, you are not just withdrawing money you already have — you are borrowing money from the card issuer, the same way you borrow when you swipe the card at a store. The difference is that ATM withdrawals trigger fees right away and begin accruing interest on day one, with no grace period like you get on regular purchases.

The mechanics are straightforward: insert your card, enter your PIN, select the cash amount, and take your money. But the financial consequences are steep enough that most people should treat a credit card ATM withdrawal as a last resort, not a convenient way to get cash.

Key Takeaways

  • Credit card cash withdrawals charge a cash advance fee (usually 3 to 5 percent of the amount) plus an ATM operator fee, both applied immediately.
  • Interest on a credit card cash advance starts accruing the same day you withdraw, with no grace period, even if you pay the balance in full by your statement due date.
  • Your credit card's cash advance limit is often lower than your regular credit limit, so you may not be able to withdraw as much as you can charge.
  • Using a credit card at an ATM can signal financial stress to the card issuer and may trigger a review of your account or credit line.

The fees that come with a credit card cash advance

When you withdraw cash using a credit card, you pay two separate fees. The first is the cash advance fee, which your card issuer charges. This is typically 3 to 5 percent of the amount you withdraw, though some cards charge a flat fee instead (for example, $10 per withdrawal). Check your card's terms or call the number on the back to find out which applies to you.

The second fee is the ATM operator fee, charged by the machine's owner. This is usually $2 to $3 per transaction, and you may see it on the screen before you complete the withdrawal. Some ATMs charge more, especially if they are in a bar, casino, or other high-traffic location.

Together, these fees add up fast. If you withdraw $200 and your card charges a 4 percent cash advance fee plus a $3 ATM fee, you pay $11 just to get the cash. That is before any interest charges begin.

How interest works on cash advances

The interest on a credit card cash advance is different from the interest on regular purchases. With a purchase, you get a grace period — usually 21 to 25 days — before interest starts. With a cash advance, interest starts accruing the day you withdraw the money, even if you pay it back before your statement due date.

The interest rate on cash advances is also usually higher than the rate on purchases. Your card might charge 18 percent APR on regular purchases but 24 percent APR on cash advances. This rate is applied daily to your outstanding balance, so the longer you carry the cash advance, the more interest you owe.

If you withdraw $200 at a 24 percent APR and pay it back after 30 days, you will owe roughly $12 in interest alone, on top of the $11 in fees. That $200 withdrawal has cost you $23 before you even spent the cash.

Your cash advance limit is separate from your credit limit

Your credit card issuer sets a cash advance limit that is often much lower than your regular credit limit. If your card has a $5,000 credit limit, your cash advance limit might be only $500 or $1,000. This limit is set by the issuer and is not something you can change by asking — it is determined based on your credit history and account status.

You can find your cash advance limit by logging into your online account, calling the number on the back of your card, or checking your cardholder agreement. If you try to withdraw more than your limit, the ATM will decline the transaction.

Why your card issuer might flag a cash advance

Frequent credit card cash advances can signal to your issuer that you are in financial trouble. If you withdraw cash regularly, the issuer may review your account, lower your credit limit, or even close the card. This happens because cash advances are seen as a sign that you are running short on cash and may be at higher risk of missing payments.

A single cash advance is unlikely to trigger this response, but a pattern of them — especially if combined with missed payments or high balances — can prompt action. This is another reason to treat ATM withdrawals as truly occasional, not routine.

When a credit card cash advance makes sense

There are rare situations where using a credit card at an ATM is the right choice. If you have an emergency and no other way to get cash — no debit card, no savings account, no friends or family to borrow from — then paying the fees and interest might be worth it to solve an immediate problem.

But this should be the exception, not the rule. Before you use a credit card at an ATM, ask yourself whether you can wait until you reach your bank, whether a friend can lend you cash, or whether you can solve the problem without cash at all. Most of the time, one of those alternatives will be cheaper and safer.

Better ways to get cash when you need it

If you have a debit card linked to a checking account, use that at an ATM instead. Debit card withdrawals have no interest charges and usually have lower or no fees, especially if you use your own bank's ATM.

If you do not have a debit card, opening a basic checking account is faster and cheaper than relying on credit card cash advances. Many banks offer accounts with no monthly fee and no minimum balance. You can open one online in minutes and have a debit card within a week.

If you need cash right now and do not have a debit card, ask a friend or family member to lend you money, or see whether the place you are trying to pay will accept a credit card instead of cash. Both options are cheaper than a credit card cash advance.

Frequently Asked Questions

Do I need a PIN to use my credit card at an ATM?

Yes. You will need to enter your PIN, which is different from your card's security code. If you do not have a PIN set up, call the number on the back of your card and ask the issuer to send you one or set one up over the phone. Some issuers let you set a PIN online.

Can I use a credit card at any ATM?

Most ATMs accept credit cards, but some are set up for debit cards only. The ATM screen will tell you whether it accepts credit cards before you insert your card. If you are not sure, ask the business that owns the ATM — a bank teller, convenience store clerk, or gas station attendant can tell you.

Will a credit card cash advance hurt my credit score?

A single cash advance will not directly hurt your score, but it increases your credit utilization (the amount of credit you are using), which can lower your score slightly. If the cash advance pushes you closer to your credit limit, the impact is larger. Paying it back quickly will help your score recover.

What if the ATM declines my credit card?

The ATM might decline your card if you have reached your cash advance limit, if your card is expired, if the card is locked for security reasons, or if there is a technical problem. Call your card issuer to find out why. Do not try the same ATM repeatedly — each attempt can be recorded as a separate transaction.

Can I get a refund on the cash advance fee?

Some card issuers will refund a cash advance fee if you call and ask, especially if it is your first one or if you have been a customer for a long time. It never hurts to call and explain your situation, but there is no may provide. The ATM operator fee is set by the machine owner and is not refundable through your card issuer.