Cash Advance on a Capital One Credit Card: A cash advance is when you borrow cash using your credit card instead of buying something, you withdraw money from your credit line. For example, when you use your card at an ATM with the “cash advance” option or visit a bank teller and ask for cash from your credit card account.
With Capital One, the company explains: “A cash advance is when you use your credit card to obtain cash … using your card at an ATM or bank branch.”
Important difference: Unlike normal purchases, cash advances usually:
- Have higher fees and higher interest rates.
- Start accruing interest immediately, because there’s typically no grace period.
- May be treated differently for repayment and for credit reporting.
How to Get a Cash Advance on a Capital One Credit Card?
1. Check your cash advance eligibility and limit
Review your most recent statement (or log into your account) to find your “Cash Advance Limit” / Available cash for cash advances.
Note that even if you have available credit for purchases, the cash advance portion may be a subset of that.
Make sure you have enough available credit for the amount you wish to withdraw. If your full credit line is used up by purchases, you may not be able to take a cash advance even if the cash advance limit exists.
2. Get or confirm your PIN (if using ATM)
If you plan to use an ATM, you’ll need your card’s cash advance PIN:
Log in to your Capital One account → select something like “Get a Cash Advance PIN” under “Control Your Card”.
Alternatively, you may call the number on the back of your card and request a PIN.
Note: If you don’t have a PIN you won’t be able to use the ATM method until you get it.
3. Choose your method: ATM withdrawal, bank branch, or convenience check
Capital One outlines three main methods:
ATM withdrawal: Insert your credit card at an ATM (that accepts your network, e.g., Visa/Mastercard), enter your PIN, select “cash advance”, input amount, accept fees, complete transaction.
Bank or credit union branch: Visit a bank branch that accepts the card network (for example a branch that displays Visa/Mastercard logos). Present your credit card and a government-issued photo ID. The teller processes the cash advance.
Convenience checks: If Capital One has sent you “convenience checks” tied to your credit line, using them counts as a cash advance (you write it out and cash or deposit it). The same cost rules apply.
4. Complete the transaction
Once you choose the method:
At ATM: Insert card, enter PIN, choose “cash advance”, enter amount (within your cash advance limit), accept any ATM operator fees + Capital One cash advance fee, take cash and receipt.
At branch: Show ID + card, request cash advance, they process it, you receive cash.
Convenience check: Fill out the check, cash or deposit it, and the amount is added to your card balance as a cash advance.
5. Understand how repayment and interest work
The cash advance amount gets added to your card balance, and you’ll need to repay it like other charges.
Interest begins right away on a cash advance (no grace period) for most cards.
The payment you make is applied according to the card’s terms (often toward lowest APR first, but cash advances have higher APR so they can cost more).
Because this is borrowed cash, your credit utilization may go up (if you use a large amount of your credit line), which can affect your credit score.
What Are the Costs & Risks?
Using a cash advance is convenient, but comes with significantly higher cost. You need to be fully aware of these before proceeding.
Fees
For Capital One cards, the cash advance fee is often the greater of a flat amount (for example $5) or a percentage of the cash advance (for example 5%) of the amount you withdraw.
On top of that, if you use an ATM not operated by your card issuer or network, you may incur an ATM operator fee.
Interest Rates (APR)
Typically, the APRs for cash advances are higher than those for purchases. For instance, the cash advance APR for some Capital One cards is in the range of ~28-30% or even more.
As there is no grace period and the interest starts right away, a short delay in repayment will increase your expenses.
No Grace Period
In general, purchases might be given the benefit of a full payment by the due date in order to avoid interest charges, whereas cash advances usually carry interest from the very first day.
Credit Score / Utilization Impact
As you are increasing your card balance, your credit utilization ratio (balance divided by credit limit) will elevate, thus your credit score can be negatively impacted.
Moreover, the frequent use of cash advances may be perceived as a riskier behavior by issuers.
Cash Advance on a Capital One Credit Card: Limitations and Hidden Costs
Sometimes the limit for the cash advance on your card may be significantly lower than the total credit limit (only a portion, say 30% or less, at times).
There may be different daily cash limits on the ATMs, which means that you will have to do several transactions (a fee will be charged for each) to get the desired amount.
There are situations where you do not see ‘withdraw cash’ but the transaction is considered a cash advance (for example, if you transfer money to someone via P2P apps, buying lottery tickets or gambling chips).
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Expert Caution
Financial advisers caution that a cash advance should be treated as a last-resort, emergency option. For example, one article warns: “Because of higher interest and fees, the Consumer Financial Protection Bureau says to avoid them if possible.”
When Might It Make Sense And When Should You Avoid It?
It may make sense when:
- You truly need cash immediately and don’t have other realistic, cheaper options (e.g., emergency, urgent need)
- You are certain you can pay it off quickly, so that the high interest cost doesn’t balloon.
You should avoid or reconsider when:
- You’re doing it for convenience rather than necessity
- You have other cheaper sources of funds (e.g., personal loan, savings, 0% transfer purchase offers)
- You expect to carry the balance for a long time doing so will cost a lot in interest and fees
- You don’t know your cash advance limit, or you might exceed it and incur further penalties
Alternatives to consider
Using a personal loan from a bank or credit union (often lower interest than a cash advance).
Using emergency savings or liquidating asset rather than borrowing
Applying for a credit card that offers 0% interest on purchases (if your need is purchase rather than cash).
Contacting your card issuer to explore other relief options if you’re in hardship.
How to Get a Cash Advance on a Capital One Credit Card: Step-By-Step Example
Let’s assume: You have a Capital One credit card and you are in a need of ₹ (or USD) cash immediately.
1. Access your Capital One online account or mobile app → review your statement for “Cash Advance Limit” → find that you can e.g. take a cash advance up to $1,000.
2. You need a PIN first → go to “I Want To…” → “Get a Cash Advance PIN” and follow the instructions. Receive it either by waiting or possibly if it is digital you will get it instantly.
3. Find an ATM that supports your card type (Visa or Mastercard). Put the card in, enter the PIN, select “Cash Advance,” type the amount (e.g. $300).
4. What you show may be: Cash advance fee is 5% of $300 = $15 (minimum $5). On the other hand, the ATM may charge $3-$5 for ATM operator fee.
5. You agree on the fees, get the money. The account that links with your card is immediately charged $300 + $15 fee + if any ATM operator fee.
6. Interest will start being added from the very day you make the cash withdrawal and at the cash advance APR (for example ~29%) and it will keep doing so until you pay in full the sum of $315 (or more).
7. You intend to pay back the entire sum of $315 at your next payment cycle to avoid interest. Moreover, you keep an eye on your credit utilization as the $315 which have been added to your balance may affect your score.
FAQs (Frequently Asked Questions)
Q: Can I get a cash advance on my Capital One credit card without a PIN?
A: For an ATM withdrawal you will need a PIN. However, you can also go to a bank branch with your card and a photo ID for a cash advance. In that case, you might not need a separate PIN (though you’ll still need the cash advance option enabled).
Q: How much can I withdraw as a cash advance?
A: Your cash advance limit depends on your card and your credit profile. Capital One states that the cash advance limit is a portion of your credit limit, and you’ll find the exact number on your statement or by contacting them.
Q: Is there a grace period on interest for cash advances?
A: No, typically not. For cash advances, interest starts accruing right away from the day of the transaction – unlike purchases that may have a grace period.
Q: What fees will I pay for a cash advance?
A: With Capital One, you’ll pay the cash advance fee (often the greater of $5 or 5% of the amount) plus any ATM operator fee (if applicable).
Q: Can I just transfer money from my credit card via an app and call it a cash advance?
A: Yes and no. Some transactions (even if you don’t physically withdraw cash) may be treated by the issuer as a cash advance. For example: transferring money via certain apps, paying down other debts, money orders, foreign currency exchange. Capital One notes these may count as cash advances.
Q: Will taking a cash advance hurt my credit score?
A: The cash advance itself doesn’t automatically “hurt” your credit score, but because it increases your credit-card balance and thus your credit utilization ratio, it can negatively impact your score if the balance is high relative to your limit.
Q: Should I use a cash advance to cover everyday expenses?
A: Generally no. Because of the high cost (fees + high interest + no grace period), cash advances should only be used for urgent, short-term needs when no better alternative exists. Experts recommend caution.
