Some business payment cards can be used to withdraw cash at a cash machine or at a bank branch or currency exchange bureau. There is usually a handling charge for each withdrawal, typically a percentage of the amount withdrawn. This is usually subject to a minimum fee. The details will be shown in the summary box.
For example, if you withdraw £100 from a cash machine, and your card has a cash advance fee of 2%, then you will be charged an additional £2 (or the minimum fee if this happens to be greater than £2), which will appear on next month’s statement.
The interest rate for withdrawing cash is often higher than the rate for purchases. Typically, you will be charged interest from the date that you withdraw the cash; and there will be no interest-free period.
Some card companies limit the total amount that you can borrow in cash to a specified amount or to a proportion of your credit limit. For example, if you have a credit limit of £1000, and the maximum you can borrow in cash is 50% of the credit limit, then you will not be able to have more than £500 in cash transactions outstanding at any one time.