I’m a little confused as to how cash advances on credit cards work. Several websites state that cash advances generate interest from day one – so does that mean that I’m going to be charged X% each day until I pay the cash advance off (I’ll be clearing the balance at the end of the month, so wouldn’t normally generate interest). Or do I pay a lump sum when the cash is taken out?
Any clarification would be gratefully accepted!
Akron/Fulton, OH
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Both.
My card has a cash advance fee of 3% which is charged instantly.
Ex: I take out 100 I get charged 3 dollars.
But that’s nothing – here’s the killer:
You immediately start paying interest on that balance.
Most cards have different interest rates for purchases and cash advances.
My card – purchases 15%, cash advances 29.99%.
Once you become a victim to credit card interest it is hard to get it stopped. This is why:
You must pay your account to 0, and you must receive a statement with a 0 balance. So once you make that cash advance, you must pay it in full ASAP, then call back in two weeks and make sure that balance is 0, before your closing date.
Any charges you make to that account will start incurring interest that is charged monthly. I have overpaid, yes, overpaid my account by a couple of hundred just to avoid this horrendous interest mess. Once you pay interest, I would suggest you stop using the card, overpay the card.
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Go to your bank and discuss a cash advance loan with them. In emergencies, often a bank is more understanding than you might think they are.
Sometimes the Salvation Army will pull through as well,if you have one in your area.
Take time to look into your community for support, but some people don’t have all the options that come with an understanding community. http://www.americaschoicetoday.com/Payday-Loan.html
I’ve searched all around for a quick cash advance online, and the best one I found, and that I’ve used a several times was http://www.americaschoicetoday.com/Payday-Loan.html – the interest rate is really low and they put the funds in by the next day. I hope this helps you, good luck!
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