Cash Advance

A cash advance is where you use your credit card to get cash either across the counter at bank branches, or through cash machines.

Cash advances are often subject to a handling fee of around 2%.

Cash advances usually also start to accrue interest from the date of the transaction, rather than the statement date as for normal purchases. Most lenders also charge higher interest rates for cash advances than they do for ordinary card purchases.

Another thing to watch out for with cash advances is that some banks allocate any payments you make to lower interest rate purchases first and continue to charge for cash advances until the total balance on the credit card is paid in full.

The term ‘cash advance’ can also be used to describe a payday loan – a small short term loan of several weeks designed to tide individuals over until their next payday. These loans typically carry an extremely high interest rate.

Jargon Buster

Use the links below and the resulting list of terms on the right to locate the term you are looking for. If you can't locate it, please get in touch.

A
B
C
D
E
F
G
H
I
J
K
L
M
N
O
P
Q
R
S
T
U
V
W
X
Y
Z
keyboard_arrow_left

keyboard_arrow_right

We have loads of great customer reviews