3. Cash Advances
A cash advance is a withdrawal or a short-term loan where you’re borrowing against your credit card account. If possible, avoid taking a credit card cash advance — or else you might be faced with high fees and interest rates. Your APR and fees will vary depending on your bank and credit card issuer, but, in general, the APR on a cash advance is higher than a purchase APR.
Of course, some situations call for a cash advance — but these should be for emergencies only. And always look for a credit card that offers low interest and fees for cash advances.
