The Bank of America credit card cash advance allows you as a cardholder to borrow money from your credit line either via ATM withdrawal, direct bank deposit, or by check. Essentially, when you take a credit card cash advance, you’re borrowing money against your credit card.
Usually, like most banks, taking a cash advance against your Bank of America credit card comes with hefty fees and interest. Since your credit card company is essentially lending you cash and charging your account, it will cost you a lot more as cash advances generally have higher transaction fees as well as annual percentage rates (APR).
However, the Bank of America offers its cardholders a convenient and cheaper option if you choose to get the cash advance through check or via direct deposit to the bank.
That said if you’re looking to get a Bank of America credit card cash advance but don’t know how to go about it, don’t worry. We’re here to help.
In this article, we discuss in detail how to get a cash advance against your credit card.
Getting a Bank of America Credit Card Cash Advance
As stated earlier, there are four ways to get a credit card cash advance as a Bank of America customer. They include a cash advance through ATM withdrawal, check cash advance, bank teller, or by through direct deposit to your checking account.
Except for the ATM cash withdrawal, all the other three methods are pretty straightforward. So let’s discuss how you can obtain a Bank of America credit card cash advance from an ATM.
How to Get Cash Advance from Bank of America Credit Card from ATM?
To get a cash advance at an ATM, you’ll need to request a PIN. You can easily obtain it either through your online banking account or by calling the number at the back of your credit card, or by using your Bank of America Mobile App.
After obtaining the PIN, visit your nearest Bank of America ATM. Enter the PIN and then enter the amount you would like to withdraw.
Bank of America Cash Advance Fees
Typically, there are two types of fees and interest rates for the Bank of America cash advances. However, the percentage of fees and interest rates usually depends on the type of transaction you make.
For example, for ATM, same-day online, over-the-counter, cash equivalents, and overdraft protection, it will cost you at least a %5 fee of the amount with a $10 minimum. As for the interest rate, your credit card cash advance for these transactions will accrue an Annual Percentage Rate of around 26.49%. However, the percentage may vary between different credit cards.
Check cash advances and direct deposits will cost you a little bit less than other methods. For these transactions, it will cost you a 3% fee of the total amount with a $10 minimum. The interest rate remains the same at 26.49%, but again, this may vary between credit cards.
How Can I Reduce the Cash Advance Fees?
One way to limit the fees associated with credit card advances is by planning your repayment.
Typically, interest beings to accrue immediately you take a credit card cash advance. This is unlike normal credit card purchases where the interest-only starts to accrue only when the repayment date is due. Therefore, repaying sooner will help you save a lot of money in the long run.
Another way is to understand the transaction fees. You could significantly reduce the fees by only withdrawing as much money as you need instead of making many multiple small transactions.
Is there a Credit Card Cash Advance Limit?
Yes, there is a limit to how much cash advance you can get against your credit card. It’s commonly referred to as a cash credit line. Your credit card cash advance limit may depend on a wide range of factors. You can get in touch with customer support to find out the maximum amount you can get on your card.
Although they carry hefty fees and interest rates, credit card cash advances are a convenient way for Bank of America cardholders to obtain fast cash against their credit cards. Before you go ahead and obtain one, make sure you know the set rules and requirements beforehand. Hopefully, you’re now in a better position to make an informed decision after reading this article.