What Is A Cash Advance?

May 19, 2021 | Emma Frost

what is a cash advance

 

Have you been wondering "what is a cash advance?" If so, you're not alone! When it comes to a cash advance, this could be an option to help when you have emergency expenses. Here is everything you need to know about this kind of financial aid and why you might want to consider an alternative option: payday loans.

So, What Exactly Do We Mean By Cash Advance?

So, what is a cash advance? A cash advance is essentially a short-term loan provided by your credit card issuer. It's like using your debit card to withdraw money, except the money is coming from your credit limit rather than your bank account amount.

Since the money isn't technically yours at the time of borrowing, you will, of course, need to pay the money back with interest.

With that said, there are two main types of cash advances — a credit card cash advance and a payday loan. The latter we will discuss later, the former is the kind of cash advance we're talking about here.

What Is A Cash Advance And How Do They Work?

Once you understand what is a cash advance, the next question you are probably asking is ‘how does it work?’. Well, you can receive your credit card cash advance in three different ways — in person, by visiting an ATM, or via a convenience check. To gain a better understanding, here are the details you need.

Receiving An ATM Cash Advance

The first up when learning what is a cash advance is an ATM cash advance. If your credit card issuer gave you a PIN for your card, you can head to your nearest ATM and withdraw your advance. If you do not have a PIN, you can request one from your provider.

Although, it's worth keeping in mind that it can take a few working days for your PIN to reach you. Not to mention there are strict limits on how much cash you can take out of an ATM at a time.

Retrieving Your Cash Advance In-Person

Next up when learning what is a cash advance is in-person cash advances. If you live relatively near to your bank, getting your cash advance in person might be the desirable method. It's as simple as requesting one with your credit card at the kiosk.

Getting Your Cash Advance Via Convenience Check

Now the last option you have to explore when you learn what is a cash advance is convenience check cash advance. If your credit card came with a convenience checkbook, you can write a check to yourself. Then, simply deposit or cash the check and you're good to go!

How Much Can You Withdraw With A Cash Advance?

You can withdraw as much cash as you'd like up to your credit limit with your cash advance. This limit might be lower than your standard purchase credit limit.

It is easy to check your credit limit. Just log in to your online account or take a look at your latest credit card statement. Either way, you will be able to see your cash advance limit and the amount of credit you have remaining.

How Much Does A Cash Advance Cost?

Generally speaking, cash advances come with a higher price tag than standard transactions. You'll typically be charged a service fee and a higher interest rate. Not to mention that they do not come with a grace period – which means the interest builds immediately.

Without a doubt, credit card cash advances aren't for everyone. When you are going through an emergency, you don’t want the added stress of expensive transactions. So, why not try a payday loan instead?

 

payday loans cash advance

 

An Alternative To A Cash Advance: A Payday Loan

If you realize that a cash advance is not the right fit for you, a payday loan can be an option. It is a short-term financial aid used to tide you over until your next paycheck.

Typically, you'll be required to have some sort of employment, but we can accept other income sources in some of our stores. It's always best to check with the loan adviser dealing with your case before making any assumptions.

You should never use payday loans for frivolous things like going out or shopping. Payday loans should be used for emergencies such as:

  • Paying for emergency auto or home repairs
  • Funding unexpected, urgent travel
  • Paying for emergency medical bills

With us at Nevada Title and Payday Loans Inc, you can potentially receive up to $500 in as little as 30 minutes! Follow the steps below to obtain a payday loan from us:

  1. Go to our website and fill out the simple inquiry form found on our website. It should take around 5 minutes to complete.
  2. Stay with your phone once you've submitted the form. One of our friendly loan representatives will give you a call to discuss the rest of the process and answer any questions.
  3. After the conversation, head to your closest payday loans location with your government-issued photo ID card, most recent pay stub, and a blank check from your active checking account.
  4. Wait while our loan associate verifies your documents and explains the next steps. Once they determine if you have gained approval, you will receive your cash on the same day!

The best part is we accept all credit situations. Whether you have good, bad, or non-existent credit scores, we're happy to work with you to acquire a payday loan.

Now that you can fully answer your "what is a cash advance?" question, you can better decide whether it's right for you. If not, we're sure our payday loans can help fund your emergency. If payday loans do work for you, fill out the online form today to get started.