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Best Credit Card Cash Advances in Canada

Best cash advance credit cards in Canada

Nate Siegel

By Nate Siegel

Fact Checked: Cory Santos

🗓️

Updated: November 07, 2024

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Credit is a nearly universal way to pay these days, but that doesn’t necessarily mean cash is completely dead. Cash is still accepted virtually everywhere and can be the best type of tender for emergencies.

When facing a cash-preferred situation, those with only a credit card may be tempted to make a cash advance using an ATM or a nearby bank. But many credit card cash advances come with complications that informed consumers need to be aware of. And if you take cash advances regularly, it’s best to make sure that your low cash advance card offers you friendly terms that suit your needs.

Check our our best cash advance credit cards below before browsing our comprehensive Best Credit Cards Canada list for 2024:

  • Why you can trust Money.ca's best cash advance credit cards in Canada list

    +

    Money.ca rates all credit cards on a numeric scale of 1 to 5 stars, with 1 being the lowest and 5 the highest rating, respectively. Money.ca’s proprietary scoring formulas break down the confusing language, complex points, rewards and earn rates to give you the real data that caters to your needs first, not ours.

    Our partnerships have no impact on our ratings, which are solely determined by the merits of each card. To learn more about how we researched and ranked these cards, read our full credit card review methodology.

Summary of picks
Card Name Cash Advance Details Get Started
Scotiabank Value® Visa* Card
Best for lower rates
◦$29 annual fee; First-year annual fee waived2 ($0.00 each Supplementary Card)
◦0% introductory interest rate on balance transfers for the first 10 months (13.99% after that; annual fee $29)
◦Cash advance minimum fee of $5
Apply Now
RBC® Visa‡ Classic Low Rate Option
Best for earning rewards
◦$20 annual fee
◦12.99% APR on cash advances
◦ Earn up to 50 Be Well points for every $1 spent on eligible purchases at Rexall
Apply Now
BMO Preferred Rate Mastercard®*
Best for balance transfers
◦$29 annual fee (waived on the first anniversary when you opt for the introductory balance transfer offer*)†
◦15.99% for cash advances†
◦$5 cash advance fee
Apply Now
Tangerine Money-Back Credit Card
Best for cash back
◦$0 annual fee ($0 for additional cardholders)
◦19.95% for cash advances
◦$3.5 cash advance fee within Canada, $5.00 outside Canada
Apply Now

*Terms and conditions apply

Best overall

Best Canadian cash advance credit cards

Scotiabank Value® Visa* Card

Apply now

4.0

0% intro rate

Welcome offer

Fair

Suggested credit score

to receive the latest news, tips and offers by email

Apply now

Pros

  • Lengthy introductory APR on balance transfers

  • A great low rate everyday

  • Available to applicants with average credit

Cons

  • No rewards program

  • Insurance coverage is an optional extra

  • Carries an annual fee

Eligibility

Recommended Credit Score

Fair

Required Annual Personal Income

$12,000

Pros

  • Lengthy introductory APR on balance transfers

  • A great low rate everyday

  • Available to applicants with average credit

Cons

  • No rewards program

  • Insurance coverage is an optional extra

  • Carries an annual fee

Eligibility

Recommended Credit Score

Fair

Required Annual Personal Income

$12,000

Purchase APR

13.99%

Balance Transfer Rate

13.99%

Cash Advance APR

13.99%

Annual Fee

$29

Foreign Transaction Fee

2.5%

The Scotiabank Value® Visa* Card offers the best promotional cash advance rate in Canada, at 0% interest charged on cash advances for the first 10 months. Afterwards, cash advances have a still-competitive 13.99 interest rate.¹ Plus no annual fee in the first year.¹ Terms and conditions apply. With both the bonus and the regular rate helping so much to save, it’s logical that there’s an annual fee, though it’s a reasonable $29.

The Scotiabank Value® Visa* Card charges $5 per cash advance fee / 1% on Balance Transfers transferred during the Promotional Period, but savings on interest will likely eclipse these fees for most cardholders. Scotiabank offers 25% off base rates at participating AVIS locations and at participating Budget locations in Canada and the U.S. when you pay with your card as well.

  • Conditions Apply. Visit here for the Scotiabank Value® Visa* Card to learn more. *See Card Provider's website and Card Application for complete card details, terms and current offers. Reasonable efforts are made to maintain accuracy of information.
Best for rewards

Best cash advance card for basic rewards

RBC® Visa‡ Classic Low Rate Option

Apply now

2.8

Fair

Suggested credit score

to receive the latest news, tips and offers by email

Apply now

Pros

  • Low interest rate

  • No minimum income requirement

  • Basic purchase protection and extended warranty

  • Linked benefits with Petro-Points program

  • Holistic evaluation for varied credit histories

Cons

  • $20 annual fee

  • Other cards offer similar rates with no annual fee

  • Optional benefits may be found cheaper elsewhere

  • Not among the best low-interest cards due to competition

  • Balance transfer promotions lacking compared to competitors

Eligibility

Recommended Credit Score

Fair

Pros

  • Low interest rate

  • No minimum income requirement

  • Basic purchase protection and extended warranty

  • Linked benefits with Petro-Points program

  • Holistic evaluation for varied credit histories

Cons

  • $20 annual fee

  • Other cards offer similar rates with no annual fee

  • Optional benefits may be found cheaper elsewhere

  • Not among the best low-interest cards due to competition

  • Balance transfer promotions lacking compared to competitors

Eligibility

Recommended Credit Score

Fair

Purchase APR

12.99%

Balance Transfer Rate

12.99%

Cash Advance APR

12.99%

Annual Fee

$20

Foreign Transaction Fee

2.5%

The 12.99% fixed cash advance interest rate offered by the RBC® Visa‡ Classic Low Rate Option  is very competitive given the card’s relatively low $20 annual fee.  Aside from cash advances the card is unusual in that it combines low interest rates with the potential to earn basic rewards, nabbing up to 50 Be Well points for every $1 spent on eligible purchases at Rexall Pharmacies. Additionally, cardholders save 3¢/L on fuel and earn 20% more points when using their linked RBC credit card at Petro-Canada gas stations.

This offer is only available to residents of Canada other than the province of Quebec (Quebec residents eligible for separate offer).

*Terms and Conditions apply.

  • Refer to RBC page for up to date offer terms and conditions.

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Best for transfers

Best for balance transfers

BMO Preferred Rate Mastercard®*

Apply now

3.2

0.99% rate

Welcome offer

Good

Suggested credit score

Get a 0.99% introductory interest rate on Balance Transfers for 9 months with a 2% transfer fee and BMO will waive the $29 annual fee in your first anniversary*.

Expires

Nov 30, 2024

Apply now

Pros

  • Low-interest rate: Offers a competitive purchase interest rate

  • Introductory balance transfer offer for the first nine months

  • First-year annual fee waiver

  • BMO PaySmart™ Installment plans: Turn new credit card purchases into small, interest-free monthly payments with a small fee.

  • Additional cardholder: You can add an additional cardholder for free

  • Free extended warranty and purchase protection*

  • Zero Dollar Liability: protects you from unauthorized use of your credit card*

Cons

  • No rewards: Your focus is paying down debt, not collecting miles.

  • Foreign transaction fee: Charges a 2.5% fee on foreign transactions.

  • Balance transfer fee: While normal, it’s a bit painful to have to fork over a 2% fee on balance transfers.

Eligibility

Recommended Credit Score

Good

Required Annual Personal Income

$0

Required Annual Household Income

$0

Pros

  • Low-interest rate: Offers a competitive purchase interest rate

  • Introductory balance transfer offer for the first nine months

  • First-year annual fee waiver

  • BMO PaySmart™ Installment plans: Turn new credit card purchases into small, interest-free monthly payments with a small fee.

  • Additional cardholder: You can add an additional cardholder for free

  • Free extended warranty and purchase protection*

  • Zero Dollar Liability: protects you from unauthorized use of your credit card*

Cons

  • No rewards: Your focus is paying down debt, not collecting miles.

  • Foreign transaction fee: Charges a 2.5% fee on foreign transactions.

  • Balance transfer fee: While normal, it’s a bit painful to have to fork over a 2% fee on balance transfers.

Eligibility

Recommended Credit Score

Good

Required Annual Personal Income

$0

Required Annual Household Income

$0

0.99% introductory interest rate on balance transfers for 9 months with a 2% transfer fee and BMO will waive the annual fee on your first anniversary.*

0.99%

Purchase APR

13.99%

Balance Transfer Rate

15.99%

Cash Advance APR

15.99%

Annual Fee

$29

For a $29 annual fee, which is waived the first year*, the BMO Preferred Rate Mastercard®* provides cardholders with a low interest rate on purchases of 13.99% (and 15.99% on cash advances). It also has a nice promotion which cardholders who have other balances may appreciate: 0.99% Introductory interest rate on balance transfers for 9 months with a 2% transfer fee and BMO will waive the annual fee in your first anniversary, and a $5 fee for each cash advance*. BMO also offers purchase protection against theft and damage for 90 days, and extended warranties up to an additional one year*.

*Terms and conditions apply

Best for cash back

Best cash advance credit card for cash back

Tangerine Money-Back Credit Card

Apply now

4.0

Good

Suggested credit score

to receive the latest news, tips and offers by email

Apply now

Pros

  • No annual fee

  • Choose the spending categories where you want to earn the most cash back

  • Unlimited cash back—no maximum spending limit for any purchase category

  • Cash back is paid out monthly rather than annually

  • Periodically includes a special welcome offer where you can get extra cash back

  • 1.95% interest on balance transfers for the first 6 months (1% transfer fee applies)*

Cons

  • Regular cash back rates are still lower than what you can get from a card with an annual fee

  • Limited extra perks or benefits beyond the cash back and balance transfer promotion

  • Generally not a good fit for shopping at warehouse clubs or wholesale grocers like Costco or Walmart

  • Tangerine does not have any physical bank branches

Eligibility

Recommended Credit Score

Good

Required Annual Personal Income

$12,000

Pros

  • No annual fee

  • Choose the spending categories where you want to earn the most cash back

  • Unlimited cash back—no maximum spending limit for any purchase category

  • Cash back is paid out monthly rather than annually

  • Periodically includes a special welcome offer where you can get extra cash back

  • 1.95% interest on balance transfers for the first 6 months (1% transfer fee applies)*

Cons

  • Regular cash back rates are still lower than what you can get from a card with an annual fee

  • Limited extra perks or benefits beyond the cash back and balance transfer promotion

  • Generally not a good fit for shopping at warehouse clubs or wholesale grocers like Costco or Walmart

  • Tangerine does not have any physical bank branches

Eligibility

Recommended Credit Score

Good

Required Annual Personal Income

$12,000

Earn 2% cash back on 2 categories of your choice (e.g. groceries, recurring bills, gas, drug stores, etc.)

2%

Get a Tangerine Savings account and add a 3rd 2% cash back category.

3

Earn 0.50% on all your other everyday purchases.

0.5%

Variable APR

19.95% - 24.95%

Balance Transfer Rate

1.95%

Cash Advance APR

19.95%

Annual Fee

$0

Foreign Transaction Fee

2.5%

When it comes to cash advances, Tangerine Money-Back Credit Card has you covered. Whether you're within Canada or traveling abroad, the fee for cash advances is transparent: $3.5 within Canada and $5.00 outside Canada. Plus, the interest rate on cash advances is 19.95%, ensuring clarity in your financial transactions.

Understanding fees and interest rates is crucial. With the Tangerine Money-Back Credit Card, you enjoy a 19.95% interest rate on purchases. For balance transfers, there's a 3% fee of the amount transferred or a minimum of $5.00, with a promotional interest rate of 1.95% for the first 6 months (then 19.95%% afterward). Foreign currency conversion incurs a 2.5% fee, adding transparency to international transactions.

It's also worth noting that while the Tangerine Money-Back Credit Card offers numerous benefits and rewards, such as cash back on your everyday purchases, it's important to understand the terms and conditions surrounding cash advances. While interest is calculated from the transaction date until the amount is paid in full, there's a grace period for new purchases if the balance is paid by the due date. However, this grace period doesn't extend to cash advances.

What's a cash advance?

What is a cash advance?

Cash advances are when you use your credit card to withdraw cash from an ATM, or from a bank that offers cash advance services through Mastercard, Visa, or other card issuers. Think of it this way; every time you buy a cup of coffee with your credit card, you essentially borrow money to pay for it. A cash advance replaces purchases like coffee with the cash you need instead, meaning that you’re borrowing cash against your credit.

Advantages of a cash advance credit card

  • Access to fast cash with your credit card
  • Does not require cash in the bank
  • Pay monthly minimums on the cash advance like with purchases

Limitations of cash advances

  • Interest charged, sometimes immediately after the advance
  • Maximum cash advance amount might be lower than the card’s credit limit
  • Miss a monthly minimum payment and your rate may increase

As briefly touched upon, low cash advance rate or fee credit card users should be aware that interest charges may apply as soon as they receive the cash until the payment is due. Unlike purchases made with credit cards, where an interest-free grace period is offered if the statement balance is paid in full and by the due date, interest on cash advances starts immediately. Therefore, the costs will increase if the debt is not repaid quickly.

Some transactions may be considered cash advances, even if they’re not intended as such. This can apply to overdraft transfers to a chequing account, for example, which use your credit to cover you when a recurring bill or charge puts you beyond the balance of your chequing account.

Cash advance fees

Your credit card lists its cash advance fee online, which will be either a flat percentage rate (2.00% of the amount withdrawn for instance) or a flat charge (e.g. $3.00) per cash advance. ATMs may charge an additional ATM fee, as will some banks if you’re not already their client. The interest rate should also be considered, and it’s usually similar to the rate you pay on your purchase balance.

Alternatives

Alternatives to a cash advance

Credit card balance transfer

A credit card balance transfer traditionally facilitates the transfer of high-interest debt onto a credit card with a low promotional interest rate. But some balance transfer cards also permit a kind of ‘balance deposit,’ in which a cash transfer up to the new balance transfer card’s limit can be made to a bank account. The transferred cash is then subject to the card’s low promotional interest rate (which can sometimes be as low as 0%). This lesser-known option ultimately accomplishes something quite similar to a low-interest cash advance.

Line of credit

Opening a line of credit is another cash advance alternative. Lines of credit may be superior for those who prefer cash exclusively (disregarding the other benefits of a credit card). They offer you a set amount of cash that you can always withdraw, and often at a low interest rate, without the per-advance fees and with the benefit of a more forgiving grace period.

Home equity line of credit (HELOC)

A HELOC is a line of credit like any other, but secured by your home. Using home equity as leverage is a solution suitable for those who need a large amount of cash, and not usually for smaller cash needs. HELOCs can be opened at the same time as a mortgage or even within the same agreement, allowing borrowers to expand their line of credit as the mortgage is continually paid down.

Loans

Personal loans can be preferable for people who have a good credit score and healthy payment history, and might yield a lower interest rate than what they’d pay for a cash advance from their card. Personal loans don’t penalize borrowers for how they use their money, and as long as it’s paid back, the entire loan can be withdrawn as cash if necessary.

Your inner circle

Many would be surprised at the generosity of their closest friends and family. Financial needs are very personal, and so only those who are most familiar with you will be comfortable getting you the cash you need, but they might be be happy to help.

Conclusion

Credit card cash advance summary

Many financial advisers and money bloggers suggest people stay away from credit card cash advances entirely. The fact is, we can all find ourselves in a short-term money crunch, and the cards above offer the best low-rate cash advance options in Canada for those emergencies. In fact, we’d argue they’re some of the cheapest ways to access cash period, as their interest rates are better than most unsecured installment loans. The trick is, they’re meant to be short term and used sparingly, which you should always keep in mind before you avail of them.

BMO is not responsible for maintaining the content on this site. Please click on the Apply now link for the most up to date information.

FAQs

FAQs about cash advance credit cards

  • How much is a cash advance fee in Canada?

    +

    You can withdraw cash from your credit card in Canada. However, it's important to note that doing so may incur fees. Typically, you'll be charged a flat rate fee for each cash advance. In most Canadian banks, this fee is around $5 for domestic cash advances and $7.50 for those made outside of Canada (though these fees may vary depending on your credit card issuer).

  • How does a cash advance work on a credit card Canada?

    +

    When you use a cash advance on your credit card in Canada, there isn't an interest-free grace period. Interest begins accruing from the moment you obtain the cash advance until you repay the full amount. Additionally, the interest rate for cash advances is typically higher than that for regular purchases.

  • Why can't I do cash advance on credit card?

    +

    Unable to do a cash advance on your credit card? ATM limits and available credit play roles. Sometimes ATMs impose additional limits. You must have sufficient total credit line available; if you've maxed out on purchases, you can't get a cash advance, even if the cash advance line remains unused.

  • How do I use my credit card as a cash advance?

    +

    To use your credit card for a cash advance at an ATM: Insert your credit card; Enter your PIN; Choose "cash withdrawal" or "cash advance."; and lastly opt for the "credit" option, if prompted (selections may include checking, debit, or credit).

  • What is the maximum cash advance on a credit card?

    +

    The maximum cash advance on a credit card is usually a percentage of your credit limit. For instance, if your credit limit is $15,000 and the cash advance limit is 30%, your maximum cash advance would be $4,500.

  • Is it wise to get a cash advance with a credit card?

    +

    While it might seem enticing, it's essentially a short-term loan with high costs. Despite its appeal, it's usually a bad idea due to the expensive consequences it entails.

  • Does a cash advance hurt your credit?

    +

    Opting for a credit card cash advance won't directly impact your credit score. However, it indirectly affects it by increasing your outstanding balance and credit utilization ratio, a factor in credit scoring algorithms.

  • What is the interest rate on cash advances?

    +

    Cash advances typically have a higher interest rate than regular purchases, and interest begins accruing immediately without a grace period.

Nate Siegel Author

Nathan Siegel has a professional and educational passion for finance, and is a long-time writer for GreedyRates. He follows trends in the Canadian banking sector, compares competing products, and pours over fine print to make personal finance choices easier for Canadian consumers. In his spare time he loves running, swimming, and dogs of all kinds.

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