You can transfer money from a credit card to a bank account, but it costs money and counts as a cash advance
A credit card is not a checking account, so you cannot simply move funds into your bank the way you would between two bank accounts. When you move money from a credit card to a bank account, your card issuer treats it as a cash advance — a loan against your credit limit, not a purchase. This matters because cash advances charge higher interest rates than regular purchases, start accruing interest immediately (no grace period), and often include an upfront fee.
The most common methods are a balance transfer check, a wire transfer through your card issuer, or a third-party money transfer app. Each has different costs and timelines. If you need money in your bank account, it is usually cheaper and faster to use a debit card, withdraw cash at an ATM, or ask for a personal loan than to use a credit card cash advance.
Key Takeaways
- Credit card transfers to bank accounts are treated as cash advances, which charge higher interest rates and fees than regular purchases.
- Balance transfer checks, wire transfers, and money transfer apps are the three main methods, each with different costs ranging from 3% to 5% of the amount transferred.
- Interest on a cash advance starts the day you transfer the money, with no grace period like you get on purchases.
- Most credit card issuers set a cash advance limit that is lower than your total credit limit, so you may not be able to transfer your full balance.
Balance transfer checks: the slowest but sometimes cheapest option
Many credit card issuers send you blank checks tied to your credit card account. When you write one of these checks and deposit it into your bank account, the card issuer treats it as a cash advance and deposits the funds into your bank within 3 to 7 business days. You pay a fee upfront — usually 3% to 5% of the check amount — and interest starts accruing immediately at your cash advance rate.
The advantage is that you control the timing: you write the check when you need it, and the money lands in your bank account without a phone call or app. The disadvantage is the wait. If your card issuer has not sent you checks, you can call and request them, but it may take 1 to 2 weeks for them to arrive by mail. Some issuers no longer offer this service, so confirm yours does before counting on it.
Wire transfers and account-to-account moves through your card issuer
Some credit card issuers allow you to initiate a transfer directly from your card to your bank account through their website or mobile app. This is faster than a check — usually 1 to 3 business days — but the fees are the same: 3% to 5% of the amount, plus cash advance interest starting immediately. You will need your bank account number and routing number to set this up.
Not all issuers offer this service, and those that do often limit how much you can transfer at once. Call your card issuer's customer service number (on the back of your card) and ask whether they support bank transfers and what the fee and limit are. If they do not, you will need to use a check or a third-party app.
Money transfer apps: the fastest but most expensive route
Apps like PayPal, Square Cash, and Venmo allow you to link a credit card and transfer money to a connected bank account. The transfer usually lands within 1 to 2 business days, and some apps offer next-day or instant options for an additional fee. However, these apps charge 2% to 3% just to accept a credit card (on top of any cash advance fee your card issuer charges), so your total cost can reach 5% to 8% of the amount transferred.
These apps are designed for peer-to-peer transfers, not for moving your own money between accounts, so using them this way may violate their terms of service. Check the app's policy before you link your credit card. If the app detects that you are using it to move money between your own accounts, it may freeze your account or close it.
What a cash advance costs and how interest works
A cash advance fee is usually 3% to 5% of the amount you transfer, charged upfront. So if you transfer $1,000 and the fee is 4%, you owe $40 immediately. That $40 is added to your credit card balance.
Interest on a cash advance is separate from the fee. Your cash advance interest rate is typically 2% to 5% higher than your regular purchase rate — so if you pay 18% on purchases, you might pay 23% on a cash advance. Unlike purchases, which have a grace period (usually 21 to 25 days before interest starts), interest on a cash advance starts accruing the day you transfer the money. There is no grace period. If you transfer $1,000 at 23% annual interest and leave it for 30 days, you will owe about $19 in interest on top of the 4% fee.
Your credit card statement will show the cash advance separately from your regular purchases, and the interest rate applied to it will be different. If you make a payment, your card issuer will typically apply it to your lowest-interest balance first (usually purchases), leaving the cash advance to accrue interest longer.
Cash advance limits: you may not be able to transfer as much as you think
Credit card issuers set a cash advance limit that is separate from and usually lower than your total credit limit. If your credit limit is $5,000, your cash advance limit might be $1,500. You cannot transfer more than this limit, even if you have available credit for purchases.
You can find your cash advance limit on your credit card statement, in your online account, or by calling customer service. If you need to transfer more than your limit allows, you can request an increase, but issuers rarely grant them. Some issuers will increase your limit if you have a good payment history, but there is no may provide.
Cheaper alternatives to a credit card cash advance
Before you use a credit card to move money to your bank account, consider these options:
- A personal loan from a bank or credit union. Interest rates are usually lower than credit card cash advance rates, and you borrow a fixed amount with a set repayment schedule. Approval takes 1 to 3 days, and funds land in your bank account within 1 to 5 business days.
- A line of credit. Some banks offer unsecured lines of credit with lower interest rates than cash advances. You draw what you need and pay interest only on what you use.
- A debit card or ATM withdrawal. If you need cash, withdraw it directly from your checking account. There is no fee or interest.
- A payday loan or short-term lender. These charge high fees and interest, but if you need money for only a few weeks, the total cost might be lower than a cash advance.
Frequently Asked Questions
Does transferring money from a credit card to my bank account hurt my credit score?
Yes, it can. A cash advance increases your credit utilization (the percentage of your credit limit you are using), which can lower your score. It also appears as a cash advance on your credit report, which some lenders view as riskier than regular purchases. The impact is usually temporary and recovers as you pay down the balance.
Can I transfer money from a credit card to someone else's bank account?
Not directly through your card issuer. You would need to use a third-party app like PayPal or Venmo, which treats the transfer as a cash advance and charges fees. If you are trying to send money to another person, ask them for their Venmo or PayPal account instead, or use a bank wire transfer from your own bank account.
What happens if I cannot pay back the cash advance?
The balance stays on your credit card and interest continues to accrue at your cash advance rate. If you miss payments, late fees are added and your credit score drops. After 30 days of missed payments, the issuer may report it to credit bureaus. After 180 days, the account may be charged off and sent to a collection agency.
How long does it take for money to show up in my bank account?
It depends on the method. Balance transfer checks take 3 to 7 business days. Wire transfers and account-to-account moves take 1 to 3 business days. Money transfer apps take 1 to 2 business days, or same-day for a fee. Weekends and holidays add extra time.
Can I use a credit card cash advance to pay off another credit card?
Technically yes, but it is expensive. You would pay a 3% to 5% cash advance fee, plus a higher interest rate, to move money from one card to another. A balance transfer (moving your balance from one card to another at a lower rate) is cheaper if you may have access to. Contact the card you want to transfer to and ask about balance transfer offers.