Consumer Comeback Blog

Credit Score Glossary: Cash Advance

Cash Advance: Withdrawing cash from a credit card using an ATM or over the counter at a bank or other financial institution

The interest rate associated with fees for cash advances is often significantly higher than regular credit card transactions, such as purchases or balance transfers. Typically, consumers are not allowed to get a cash advance for the full amount of your credit limit. Before performing cash advances, consumers should be aware that they can be costly and possibly land consumers in serious debt if they are not used wisely.