Bank of America Cash Advance Debit Card 2021 Review
Cash advances are typically associated with credit cards but with a debit card, some banks allow you to do the same. However, use debit card cash advances when you’ve hit your daily ATM withdrawal limit and you still need more cash for an emergency. Debit card cash advances are provided by banks to non-customers.
Bank of America lets its cardholders get cash in several ways, including cash withdrawal from an ATM and over-the-counter at one of its bank branches. However, this type of transaction comes with hefty fees and interest.
Unlike other banks, Bank of America has a slightly cheaper option if you make a direct deposit or check cash advance.
How a Debit Card Cash Advance Works
Using your debit card to take a cash advance at a bank where you are not a customer is fairly simple.
You present your card at the teller window and the transaction is processed the same as a credit card cash advance, only the money is debited from your account rather than being charged against a line of credit.
Depending on the bank’s policy, you may have to provide a signature or your PIN number to complete the transaction. Debit card cash advances are available at most banks in the U.S., although Citibank and SunTrust are two of the larger financial institutions that don’t allow them.
How to Get a Bank of America Cash Advance
With your Bank of America credit card, you can get three types of cash advances:
- ATM cash withdrawal
- At the bank teller
- Check cash advances
- Direct deposit to your checking account
How to get a Bank of America cash advance from an ATM
Getting an ATM cash withdrawal with your Bank of America credit card is easy. All you have to do is:
- Call the number on the back of your card, or use your Bank of America mobile app.
- Go to a participating ATM and use your card.
- Enter the amount you want to withdraw.
If you’ve hit your daily ATM withdrawal limit and need a lot more cash, you may want to consider a debit card cash advance, since it’s fairly easy to do, even if it’s not at your own bank.
Your ATM withdrawal limit varies from bank to bank and the type of account you have usually determine how much money you can take out at the ATM each day.
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Bank of America Cash Advance Fee
There are two fees and two interest rates for Bank of America cash advances, depending on the transaction.
ATM, Over-the-counter, same-day online, overdraft protection, and cash equivalents cost:
- A 5% fee of the amount with a $10 minimum.
- The average cash advance APR is 26.49% but it could vary between cards.
Direct deposit and check cash advances cost:
- A 3% fee of the amount with a $10 minimum.’
- The average cash advance APR is 26.49% but it could vary between cards.
Comparing Debit Card Cash Advance Fees
Using your debit card to withdraw money at another bank’s ATM will cost you a few dollars in fees and the same is true if you’re taking a cash advance from your account, with a teller.
The fee may be calculated as a flat dollar amount or as a percentage of what you withdraw. Some banks charge a higher fee for taking cash advances from banks that are located outside the U.S.
Compared to a credit card cash advance, the fees are roughly the same but the difference is you’re not paying interest on the money you withdraw.
Many credit card issuers charge anywhere from 25% to 29% APR on cash advances, so using your debit card instead is a much less expensive option.
To give you an idea of what the top banks charge for taking a debit card cash advance, check out the table below to see how they add up.
What Purchases Does Bank of America Consider Cash Advance?
Cash withdrawals aren’t the only transactions Bank of America considers as cash advances. Other transactions that fall in this category are:
- Bail bonds
- Bets
- Casino gaming chips
- Foreign currency
- Lottery tickets purchased outside the United States
- Money orders
- Overdraft protection
- Person-to-person money transfers
- Same-day online transfers
- Traveler’s checks
Bank of America cash advance is an expensive option to get cash. Unless you have no other cash option, this could be useful. But make sure to use it sparingly to avoid paying fees and interest.
There are some credit cards that can be used for cash advances but don’t have all the fees. If that’s what you need, compare credit cards with $0 cash advance fees and low cash advance APR until you find the right fit for your wallet.
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