When a financial emergency happens, and you need cash urgently, you may wonder if you can get it from your credit card. Indeed, thereâs a way to receive cash from your credit line with a cash advance. Itâs a costly option, but when your emergency fund is dried up, and you have no alternatives, it can be a quick solution.
If you have a Discover credit card, youâre in luck. The issuer makes it rather easy for cardholders to borrow cash against their credit line. Read on to learn how to get a cash advance with Discover and what to keep in mind before you use this option.
A cash advance offers a way to use your credit card to get cash, whether from an ATM or bank branch, by transferring the money to your checking account or cashing a convenience check.
With a convenience check, you can use credit card funds in situations where you canât charge your credit card â for instance, for paying your mortgage. However, this is generally not recommended, especially if you need funds for a large transaction.
There are three ways you can get a cash advance with Discover.
First, you can find a participating ATM or bank. To get cash from an ATM, make sure to create a PIN by logging into your Discover account. If you choose to go to a bank, check if the location provides over-the-counter cash access â Discover recommends you call in before making the trip. At the bank, youâll need to show your ID and Discover credit card to receive a cash advance.
If you can wait for a few days, you can transfer cash straight to your checking account. Go to Discoverâs website and log in to your account. There, go to âManageâ on your dashboard and click âCash Accessâ and then âDeposit cash into your checking account.âÂ Youâll be able to transfer cash advance funds to the bank account youâve already used to make credit card payments.
Keep in mind that while this option is rather convenient, it can take between one and three days for cash to deposit into your checking account.
If youâre eligible, you can also request cash access checks. A convenience check is linked to your credit line and works similarly to a regular personal check. You can make this check in any amount up to your credit limit and pay it off on the terms your credit card issuer offers for cash advances.
To check if youâre eligible to receive convenience checks from Discover, log into your online account. Keep in mind that these PenFed Platinum Rewards Visa SignatureÂ® Card has a cash advance APR of 17.99%, which is still expensive, but lower than that of the majority of other cards. Additionally, the card charges no cash advance fee, as well as no annual fee, and earns 5 points on gas purchases, 3 points on grocery purchases and 1 point on everything else.
A cash advance should be the last resort option, but if you do need to borrow cash against your Discover credit line, the issuer makes the process easy. Make sure to keep in mind fees and interest to make room for them in your budget.