Credit Card cash advance

ankurbharti1985
ankurbharti1985 Posts: 2 Newbie
in Credit cards
hello All,

I work in finance company, and some of our customer have complaint that their credit card company has charged them cash advance fee for using their credit card to pay off our finance agreement.

I just wanted to know that is true that paying off finance with credit card class as bank transfer AKA cash advance.

Comments

  • [Deleted User]
    [Deleted User] Posts: 0 Newbie
    Yes - since it's not a purchase
  • Paul_DNAP
    Paul_DNAP Posts: 751 Forumite
    First Post First Anniversary Photogenic Rampant Recycler
    Yes, it counts as a cash advance because you are not purchasing goods or services directly with the credit card.
    This will be within their credit card terms and conditions, for example my credit card (Sainsbury's visa) clearly states on their fees & charges page (my bolding):
    Cash advances include:
    • Cash obtained by using the card
    • Finance payments or gambling transactions
    • All ATM withdrawals
    (Although I could be wrong, I often am.)
  • NCC-1707
    NCC-1707 Posts: 348 Forumite
    Name Dropper Combo Breaker First Anniversary First Post
    It's nothing to do with your Employer. It's the credit card company's charge. Refer it to them to explain.
  • eskbanker
    eskbanker Posts: 30,995 Forumite
    First Anniversary Name Dropper Photogenic First Post
    ankurbharti1985 wrote: »
    I work in finance company, and some of our customer have complaint that their credit card company has charged them cash advance fee for using their credit card to pay off our finance agreement.

    I just wanted to know that is true that paying off finance with credit card class as bank transfer AKA cash advance.
    If you work in a finance company and are dealing with customers, then I'd humbly suggest that you should find a more definitive source of information than anonymous strangers on the internet!

    That's not to say that any of the answers above are questionable in any way, but just that I'm sure that both your employer and the FCA would take a pretty dim view of someone relying on asking questions on here rather than ascertaining the official position via more formal channels, or to put it another way, ask your manager!
  • garth549
    garth549 Posts: 486 Forumite
    First Anniversary First Post
    It depends on the credit card provider, but yes, generally it will class as a cash advance (because it is!)

    This means charges and interest from day 1 for the customer
  • ankurbharti1985
    ankurbharti1985 Posts: 2 Newbie
    I appreciate your reply, as i myself have credit cards and i know my T&Cs with cash advance or using them to pay any thing on finance. I just asked the question on Forum to broaden my understanding and knowledge. We are not taking any decisions on basis of anyone's comment here.
    I did have this information about the topic i asked question about but just wanted to know from Experts.

    Hope i did not offend you or anyone else.

    Regards
  • chattychappy
    chattychappy Posts: 7,302 Forumite
    ankurbharti1985 wrote: »
    Hope i did not offend you or anyone else.

    Not at all. And we know from experience, the financial services industry has a proud history of misunderstanding/misapplying the law and their customer facing staff provided with poor or inaccurate information to deal with the situations they encounter. No harm in cross-checking information with what's on here with the usual provisos that you don't really know who you are talking to!
This discussion has been closed.
★ ★ ★ Meet your Ambassadors

Categories

  • All Categories
  • 343.2K Banking & Borrowing
  • 250.1K Reduce Debt & Boost Income
  • 449.7K Spending & Discounts
  • 235.3K Work, Benefits & Business
  • 608K Mortgages, Homes & Bills
  • 173.1K Life & Family
  • 247.9K Travel & Transport
  • 1.5M Hobbies & Leisure
  • 15.9K Discuss & Feedback
  • 15.1K Coronavirus Support Boards