A cash advance will likely have a higher interest rate than the normal credit expenses. Banks may put transaction fees in addition to the IR. Paying a cash advance is another disadvantage since you can’t usually pay it unless you are able to clear all of your credit accounts, in other words, the higher rate cash advances loans will continue to accrue its higher interest unless you pay your credit purchases first.
According to my oppinion, it is not at all bad when it comes to cash advances loans. Proper finance management and a strong will to pay the loan is all that is needed to avoid the consequences of the “easy-cash”. One is actually better off staying away from these disadvantageous loans. Still, nothing beats the old time financial budgeting. Having knowledge and being informed about the ways your money is being spent is the best defense against panic borrowing.
