Cash Advance Fees

Getting a cash advance from a credit card is a bad idea.

Most card issuers charge a hefty fee for a cash advance, usually in the neighborhood of 2 to 4 percent of the amount. Then, many charge more interest on cash advances than they do on purchases. And, on top of that, there’s usually no grace period—so the higher interest starts piling up right away.

Also, your payments will be allocated to the lower-interest charges first, so the interest keeps building on the cash advance amount.

Next: Late Fees