A credit card it is a very useful financial tool if handled properly. Well, with it you can take advantage of benefits in online shopping, promotions in stores and can get you out of trouble in an emergency, by avoiding going to fast loans con major interests.
But one thing that many people do not know is that there is an extra commission when making withdrawals of money from your credit card. These may vary depending on the bank, the amount of cash that you are going to have. Here we tell you how much is an approximate and we give you an example so that before doing it, check if it suits you to do it.
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Why is a commission charged when making a cash withdrawal from your credit card?
Something that many do not know is that when you use your credit card, the commission for its use is paid by the store or business that accepts it, unlike the case when you are going to withdraw money, that you have to pay, so it can be very high.
Commissions for making cash withdrawals at banks can range from 3% to 10% of the value of the withdrawal you make. In a loan of $1000 pesos, with an interest of 5%, you end up paying 60 pesos of commission.
To avoid this, the alternative is to request a personal loan directly from the bank, with much lower interest, only the process is much more complicated, but it helps you not to pay too much in the long run.
That is why before making cash withdrawals from your credit card you should check if the loan commission and interest is not too much when paying. And it is recommended that you better ask for a loan at the bank if possible.
For more information on this and other topics, visit our section on credits.