How to Withdraw Cash from an ADCB Credit Card: The Complete And Best Guide

How to Withdraw Cash from an ADCB Credit Card: The Complete Detailed Guide

Introduction

Abu Dhabi Commercial Bank (ADCB) offers various credit cards that provide financial flexibility, including cash withdrawals. While credit card cash advances can be convenient, they come with fees and interest rates that you should consider before making a transaction. In this guide, we’ll cover every detail you need to know about withdrawing cash from an ADCB credit card, including methods, charges, limits, repayment strategies, and alternative options.

How to Withdraw Cash from an ADCB Credit Card

ADCB allows cardholders to withdraw cash from their credit cards through multiple methods. However, this should be used only when necessary due to the high interest rates and fees involved.

1. ATM Cash Withdrawal

One of the easiest ways to withdraw cash from your ADCB credit card is through an ATM.

Steps to Withdraw Cash from an ATM:

1. Insert your ADCB credit card into an ADCB or partner bank ATM.
2. Enter your credit card PIN.
3. Select the option for “Cash Advance” or “Credit Card Withdrawal.”
4. Enter the amount you wish to withdraw.
5. Confirm the transaction and collect your cash.

ATM Withdrawal Charges:

2. Over-the-Counter Withdrawal at a Bank Branch

If you need a higher amount, you can visit an ADCB branch for an over-the-counter withdrawal.

Steps for Over-the-Counter Withdrawal:

1. Visit an ADCB branch with your credit card and ID.
2. Request a cash advance from the teller.
3. Sign the authorization form.
4. Collect your cash.

Bank Branch Withdrawal Charges:

3. Online Fund Transfer from Credit Card to Bank Account

If you want to avoid ATM fees, ADCB offers a balance transfer option to move funds from your credit card to your ADCB account.

Steps for Online Transfer:

1. Log in to ADCB Personal Internet Banking or the ADCB mobile app.
2. Select “Credit Card Services.”
3. Choose “Balance Transfer” or “Cash Advance.”
4. Enter the amount and recipient account details.
5. Confirm the transfer.

Online Transfer Charges:

Cash Advance Limits and Restrictions

ADCB has specific rules on how much you can withdraw as a cash advance.

Key Considerations:

• Cash advance limits depend on your available credit balance.
• Interest is charged immediately on cash withdrawals.
• Exceeding withdrawal limits may result in penalties.

Interest Rates and Fees for Cash Advances

Unlike regular credit card transactions, cash withdrawals incur high interest rates.

How ADCB Calculates Interest on Cash Advances:

• Interest starts accruing from the day of withdrawal.
• There is no interest-free period on cash advances.
• Charges compound if not repaid in full.

Example Calculation:

If you withdraw AED 5,000 and the interest rate is 3.25% per month:

• First Month Interest: AED 162.5 (3.25% of AED 5,000)
• Total Due After 3 Months: AED 5,507 (including compound interest)

Avoid Paying Excess Interest:

• Repay the balance as soon as possible.
• Avoid frequent cash withdrawals.

Alternative Ways to Access Cash Without High Fees

Instead of using a cash advance, consider these alternatives:

1. Use a Debit Card Instead

• Withdraw cash from your ADCB debit card to avoid high interest.

2. Apply for a Personal Loan

• Personal loans have lower interest rates compared to cash advances.

3. Utilize ADCB’s Easy Installment Plans

• Convert your credit card balance into monthly installments with lower interest.

4. Use ADCB’s Balance Transfer Option

• Transfer high-interest credit card debt to a lower-interest ADCB credit card.

How to Repay Your ADCB Credit Card Cash Advance

To avoid accumulating high interest, you should repay the cash advance as quickly as possible.

Repayment Methods:

1. Online Banking: Transfer funds from your ADCB account to your credit card.
2. Mobile App Payments: Pay directly from the ADCB app.
3. Auto-Debit Option: Set up automatic payments to cover your dues.
4. Bank Branch Payment: Visit an ADCB branch to make a payment.

Effects of a Cash Advance on Your Credit Score

Using a credit card for cash withdrawals can impact your financial health.

🔻 Negative Impacts:

• Increased Credit Utilization: A higher credit usage ratio can reduce your credit score.
• High-Interest Debt: If not repaid quickly, interest accumulation can lead to financial strain.
• Lower Creditworthiness: Lenders may view frequent cash advances as a sign of financial distress.

✅ How to Minimize Impact:

• Use cash advances only in emergencies.
• Repay them as soon as possible to reduce interest charges.
• Avoid making cash withdrawals frequently.

Smarter Alternatives to ADCB Credit Card Cash Advances

Instead of withdrawing cash from your ADCB credit card, consider these lower-cost options:

1. Use a Debit Card for Withdrawals

• Withdraw cash from your ADCB debit card to avoid high interest rates.

2. Apply for an ADCB Personal Loan

• ADCB personal loans have lower interest rates than credit card cash advances.

3. Use ADCB’s Easy Installment Plan

• Convert your credit card spending into easy monthly installments with lower interest.

4. Consider a Balance Transfer to Lower Interest Costs

• Transfer your high-interest credit card debt to another ADCB credit card with low-interest rates.

How to Repay Your ADCB Credit Card Cash Advance

To avoid high interest, clear your cash advance debt as soon as possible.

Best Ways to Repay Your Credit Card Cash Advance:

1. Online Banking: Transfer funds to your credit card via ADCB online banking.
2. Mobile App Payments: Make payments instantly using the ADCB mobile app.
3. Auto-Debit Setup: Set up automatic payments to avoid late fees.
4. Branch Deposit: Visit an ADCB branch and deposit cash directly.

Pros and Cons of Withdrawing Cash from an ADCB Credit Card

Best Practice: Use cash advances only in emergencies and repay them quickly to minimize costs.

Conclusion

Withdrawing cash from an ADCB credit card is a convenient option but comes with significant costs. To avoid excessive fees, consider alternative financial solutions such as debit cards or personal loans. If you do use a cash advance, make sure to repay it as soon as possible to minimize interest charges.

Frequently Asked Questions (FAQs)

1. How much cash can I withdraw from my ADCB credit card?

Your withdrawal limit depends on your card type, typically between 30% to 70% of your credit limit.

2. What is the cash advance fee for ADCB credit cards?

ADCB charges a 3.15% fee on cash advances, with a minimum charge of AED 105.

3. How can I avoid high interest on ADCB cash advances?

Repay the full amount as soon as possible, as interest starts accumulating immediately.

4. Can I withdraw cash from my ADCB credit card internationally?

Yes, you can use your ADCB credit card for cash withdrawals at international ATMs, but foreign transaction fees apply.

5. What happens if I don’t repay my cash advance on time?

Unpaid balances accrue high-interest charges, which can significantly increase your total repayment amount.

Best Ways to Withdraw Cash from an ADCB Credit Card in Dubai

Withdrawing cash from your ADCB credit card is convenient but comes with high fees and interest. You can withdraw money through ADCB ATMs, bank branches, or online transfers to your bank account. However, cash advances should only be used in emergencies due to the 3.15% cash advance fee and daily interest charges.

If you’re looking for alternative ways to access cash, consider visiting currency exchange centers in Karama, Dubai for better rates and lower fees. Exchange centers provide secure money withdrawal and transfer options, often with better currency conversion rates than banks.

For a complete list of the best exchange centers in Karama, Dubai, visit:
👉 https://www.khaleejuae.com/exchange-centers-karama-dubai/