How and when is the interest on cash advances charged?

[smit0847]

I've been using my CCs for purchases, getting the FF points, then responsibly paying off my balance in full every month.

I know I can get cash advances etc, but have been warned off ever doing so but no-one has fully explained why.

As I understand it that is because the full interest rate is charged as soon as you withdraw the cash, rather than 14 days after the end of the statement month like purchases.

My question is, if I, say, withdraw $500 as a CC cash advance today (at an ATM), and having not used the Credit card for any purchases (so there is a $0 balance that then becomes $500 with the cash advance) and I then pay off the $500 balance in full tonight (even though its not the end of the statement month and I havent received a formal bill), would I still get slugged with any interest? Do I get FF points on a cash advance?

Thanks

 

[markis10]

No points and interest if paid same day as received, and no real reason to do so. You also need to look at how payments are attributed to purchases, its possible that cash advances are credited last but unlikely.

 

[Mal]

Also there is likely to be a cash advance fee charged. Can add up quickly.

Sent from my GT-I9100 using AustFreqFly

 

[Origin]

You also need to look at how payments are attributed to purchases, its possible that cash advances are credited last but unlikely.

This can be the problem. I have not been paying attenion while doing internet banking and accidently transferred $5,000 from credit card and not savings. Transferred money back 30 seconds latter and still got hit with interest. Not much but some. I think I even paid the credit card off as well but think I still got hit with interest.

 

[oz_mark]

No points and interest if paid same day as received, and no real reason to do so. You also need to look at how payments are attributed to purchases, its possible that cash advances are credited last but unlikely.

With Westpac, a cash advance that has not yet appeared on a statement is the last thing that a payment is applied to!

 

[AVC]

You can get fees and charges reimbursed if you accidentally "cash advance" out of your CC, but it's a lengthy process.

And no, FF points are not given for cash advances (or balance transfers)