A credit card cash advance allows you to withdraw cash using your credit card. While it offers immediate access to funds, it's typically a very expensive way to borrow money due to several fees and a higher interest rate that usually starts accruing immediately.
Key Costs Involved:
Cash Advance Fee: Most credit card issuers charge a fee for each cash advance you take. This fee is usually a percentage of the amount advanced, or a flat fee, whichever is greater. Our calculator assumes a percentage-based fee.
Higher APR: Cash advances typically come with a higher Annual Percentage Rate (APR) than regular purchases. This higher rate means you'll pay more in interest over time.
Immediate Interest Accrual: Unlike regular purchases that may have a grace period before interest is charged, interest on cash advances often begins to accrue from the day of the transaction.
Cash Advance Limit: Your credit card will have a specific limit for cash advances, which is usually lower than your overall credit limit.
How the Calculator Works
Our Credit Card Cash Advance Calculator helps you estimate the total cost of taking a cash advance, including the upfront fee and the interest accrued over a specified period.
Calculation Steps:
Cash Advance Fee Calculation: The calculator first determines the cash advance fee. This is calculated as:
Cash Advance Fee = Cash Advance Amount * (Cash Advance Fee Percentage / 100)
Daily Interest Calculation: The interest accrued per day is calculated using the Annual Percentage Rate (APR):
Daily Interest Rate = (Annual Interest Rate / 100) / 365Daily Interest Amount = Cash Advance Amount * Daily Interest Rate
Total Interest Calculation: The total interest charged over the repayment period is:
Total Interest = Daily Interest Amount * Days Until Repayment
Total Cost: The total cost of the cash advance is the sum of the cash advance fee and the total interest:
Total Cost = Cash Advance Fee + Total Interest
By inputting the cash advance amount, the fee percentage, the APR, and the number of days until you plan to repay, you can get a clear estimate of how much this convenience will ultimately cost you.
When Might You Use a Cash Advance?
Cash advances should generally be avoided due to their high cost. However, in extreme emergencies where no other options are available (e.g., a true personal crisis requiring immediate cash), it might be considered as a last resort. It's crucial to understand the full financial implications before proceeding.
function calculateCashAdvance() {
var advanceAmountInput = document.getElementById("advanceAmount");
var cashAdvanceFeePercentInput = document.getElementById("cashAdvanceFeePercent");
var annualInterestRateInput = document.getElementById("annualInterestRate");
var daysToRepayInput = document.getElementById("daysToRepay");
var resultDisplay = document.getElementById("totalCostDisplay");
var detailsDisplay = document.getElementById("detailsDisplay");
// Clear previous results
resultDisplay.innerHTML = "$0.00";
detailsDisplay.innerHTML = "";
var advanceAmount = parseFloat(advanceAmountInput.value);
var cashAdvanceFeePercent = parseFloat(cashAdvanceFeePercentInput.value);
var annualInterestRate = parseFloat(annualInterestRateInput.value);
var daysToRepay = parseInt(daysToRepayInput.value);
// Input validation
if (isNaN(advanceAmount) || advanceAmount <= 0) {
alert("Please enter a valid Cash Advance Amount.");
return;
}
if (isNaN(cashAdvanceFeePercent) || cashAdvanceFeePercent < 0) {
alert("Please enter a valid Cash Advance Fee percentage (0 or greater).");
return;
}
if (isNaN(annualInterestRate) || annualInterestRate <= 0) {
alert("Please enter a valid Annual Percentage Rate (APR) percentage.");
return;
}
if (isNaN(daysToRepay) || daysToRepay <= 0) {
alert("Please enter a valid number of Days Until Repayment (greater than 0).");
return;
}
// Calculations
var cashAdvanceFee = advanceAmount * (cashAdvanceFeePercent / 100);
var dailyInterestRate = (annualInterestRate / 100) / 365;
var totalInterest = advanceAmount * dailyInterestRate * daysToRepay;
var totalCost = cashAdvanceFee + totalInterest;
// Display Results
resultDisplay.innerHTML = "$" + totalCost.toFixed(2);
var detailsHtml = "Estimated Breakdown:";
detailsHtml += "Cash Advance Fee: $" + cashAdvanceFee.toFixed(2) + "";
detailsHtml += "Total Interest Charged: $" + totalInterest.toFixed(2) + "";
detailsHtml += "(Assumes interest accrues daily from the advance date)";
detailsDisplay.innerHTML = detailsHtml;
}