Will I have to pay that high interest on a credit card cash advance?

Question

I'll be looking to get some cash to make a lump payment on opening apartment costs after I secure a job (but obviously before my first paycheck). I have a strong credit history (all payments made in time, and about a 25% debit to credit ratio...all balances on credit cards). So I'm not worried about clearing a credit check.

If I use a card with zero balance to withdraw, say, 3000 for my move-in costs (first, last security), and I pay off that advance on the nest statement due-date, will I avoid that 20% finance charge?

Answer 1

Cash advances are subject to higher interest rates and there is no grace period like with purchases.  You will be charged interest from day one.  You may even get hit with a cash advance fee, typically 3%.

Answer 2

Not only does the cash advance interest start immediately when you get the money, but there is also probably a 3% fee ($90) to get the money, which if not paid then would be added to your total.  So if you pay it off in a month, it may cost you about 4.7% total.

If you have good credit, you often get balance transfer teaser rates that are lower interest, and sometimes there is a dollar limit (like $75) on the 3% balance transfer fee.

Answer 3

No.  You will pay a transaction fee as well as the cash advance interest rate from the moment you take the money until the moment you pay it off.  This means that your statement will not reflect the exact amount due since it cuts off on a certain date and the interest will continue to accrue.

Answer 4

Be careful if you decide to apply for an online payday loan. Each state has different laws, and I'm not familiar with the rules and regulations. Try contacting a local cash advance office so you can get advice before taking out the loan. http://www.howtogetcashadvance.com/Insta...

Answer 5

probably not - they aren't going to loan you free money and not make any income off it