Cash Advance Limit question....

[Anonymous]

I searched but I could not find an answer. Here is the question:

Let's say I have a card with $6000 credit limit and a $1200 cash advance limit as separately stated in my account.

Does this mean that I can make card purchases of $6000, AND withdraw cash of $1200, totaling to $7200 value?

OR, does this mean if I use $1200 in cash advance, then that is deducted from 6K limit and leaving me a $4800? Or what?

Not that I am planning to withdraw all my cash advance limit (I know it's expensive), but just curious about its technicality...

Thanks!

[OmarGB9]

No, it means you can withdraw up to that amount in cash, but of course it would be deducted from your available credit. Hence, if you withdraw the max $1200, you would have $4800 available for purchases, BTs, etc.

[takeshi74]

+1 to the above.  It gets a bit more complicated though: if you have an NPSL credit card you can exceed the credit limit (with caveats).

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@Anonymous wrote:

Not that I am planning to withdraw all my cash advance limit (I know it's expensive),

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It can also be a red flag.

[Anonymous]

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@takeshi74 wrote:

+1 to the above.  It gets a bit more complicated though: if you have an NPSL credit card you can exceed the credit limit (with caveats).

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@Anonymous wrote:

Not that I am planning to withdraw all my cash advance limit (I know it's expensive),

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It can also be a red flag.

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It really depends on the lender. I generally avoid taking them at all, from any major banks. I have three credit unions that I have credit cards with and I have frequently rolled cash advances off them into my checking account for short term opportunities. Been doing it for a long time and have done so several times. It's never been a problem. It also avoids doing so through an ATM, avoiding the upfront cash advance fee,  only paying accrued interest until I pay it off. It's also a way to do a BT, if I ever needed to, from those CC's that don't allow BT directly to a checking acct. Simple, take the CA off the CU card into checking, then BT the amount to a major bank CC and pay off the CU card. 

[Anonymous]

If you call up the automated system, usually it will give you a number like " Your available credit is $15,000, of which, $3,000 is available for cash withdrawls."

[myjourney]

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@Anonymous wrote:

I searched but I could not find an answer. Here is the question:

Let's say I have a card with $6000 credit limit and a $1200 cash advance limit as separately stated in my account.

Does this mean that I can make card purchases of $6000, AND withdraw cash of $1200, totaling to $7200 value?

OR, does this mean if I use $1200 in cash advance, then that is deducted from 6K limit and leaving me a $4800? Or what?

Not that I am planning to withdraw all my cash advance limit (I know it's expensive), but just curious about its technicality...

Thanks!

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This is exactly what it means ^^^^^^^^^^^^^^^^^^^^^^^^

[Anonymous]

Thanks guys.

Though, I contacted my banks and figured for some banks it is combined (like BoA) and for some banks (like AmEx) it is separate.