Easy Steps to Withdraw Cash with Your Credit Card

With the convenience and flexibility that credit cards bring, they have undoubtedly become a vital component of our financial toolkit. Beyond just making online or in-store purchases, did you know you can also use your credit card to withdraw cash? This feature, often termed as ‘cash advance,’ can be a lifesaver in situations when you need immediate cash and don’t have access to other funds. Today, we’ll explore the easy steps to withdraw cash from your credit card.

 1. Understand the Terms of Cash Withdrawal

Before you head to an ATM, familiarise yourself with the terms associated with cash advances:

– Interest Rates: Withdrawing cash from your credit card usually comes with higher interest rates than regular purchases. This interest starts accruing immediately from the day of the transaction.

– Fees: There’s often a fee associated with the cash advance, which could be a flat fee or a percentage of the withdrawn amount.

– Limits: Most credit cards have a limit on the amount you can withdraw, which might be different from your credit limit.

 2. Locate an ATM that Supports Credit Card Withdrawals

While most ATMs allow debit card withdrawals, not all support credit card cash advances. Ensure the ATM displays the logo of your credit card provider. In case of the Airtel Axis Bank credit card, look for ATMs that support Axis Bank or are in the network of the card’s payment system (e.g., Visa or Mastercard).

 3. Insert Your Credit Card

Once at the ATM:

– Insert your credit card into the ATM slot.

– Enter your credit card PIN. If you’ve never withdrawn cash using your credit card, you might need to get in touch with your bank to set up a PIN. 

 4. Select the ‘Cash Withdrawal’ or ‘Cash Advance’ Option

After entering your PIN, navigate through the ATM prompts. Select the ‘Cash Withdrawal’ or ‘Cash Advance’ option. Ensure you choose the account linked to your credit card if prompted to select between savings, checking, or credit.

 5. Enter the Amount

Input the amount of cash you wish to withdraw. Remember, there will be a limit, which could be daily or per transaction. 

 6. Collect Your Cash and Receipt

Once the transaction is approved, collect the dispensed cash. Also, always take the transaction receipt for your records.

 7. Track and Pay Off the Amount

Given that interest starts accruing immediately on cash advances, it’s prudent to pay off the amount as soon as possible. Log in to your online banking portal, like the one provided for Airtel Axis Bank credit card users and keep an eye on the amount you owe. Ensure you pay it off promptly to avoid accumulating significant interest.

 Things to Consider

While withdrawing cash from your credit card is convenient, it’s essential to approach this feature with caution:

– Use Sparingly: Given the high interest rates and fees, use this feature only during emergencies or when you have no other option.

– Understand the Costs: Always be aware of the fees and interest associated with cash advances. Withdrawing a small amount might end up costing you much more in the long run.

– Prompt Repayment: To minimize the interest you accrue, try to repay the withdrawn amount at your earliest convenience.

 Wrapping Up

While the ability to withdraw cash from credit cards, like the Airtel Axis Bank credit card, offers great convenience, it’s a feature that should be used judiciously. Understand the costs, use it sparingly, and prioritise repayment to ensure you get the benefits without the burdens. Stay financially savvy!