Cash advance on credit card can be defined as the facility which can be used by a credit card holder. The card holder will be allowed to use the card for making varied purchasing and for spending whatever he wants. In this case, credit card company will bear the expenses for the time being. Once the billing cycle will come to an end, the total expenditure along with interest rate would be added to it and the bill would be sent back to the credit card holder.
The amount which the holder would owe to the company would be defined as the credit card debt. The cardholder would be able to get the cash advance at an ATM by using the personal identification number (PIN), which is assigned by the credit card company.
The way to get advance cash from the credit card account is quite a simple task. You would be required to check the same with the service provider, whether your account has a cash advance facility on credit card or not. In certain cases, the credit card companies do not offer such type of facility and it will depend upon the credit card agreement.
However, if you will use the cash advance facility then it can prove costly to you and therefore, it is recommended to explore other payment mode before deciding to incur debt. Generally, credit card companies charge high fees from cardholder for availing the cash advance fee. Usually, the rate of interest applied to advance is much more as compared to the rate which is applied on the card purchasing.
