SBI Credit Card Cash Withdrawal

A cash advance is a service offered by most banks in India, allowing credit cardholders to withdraw cash up to a specific limit from a bank counter or ATM. SBI provides this service for its credit cardholders, with nearly all SBI credit cards offering the cash advance feature. However, the withdrawal limit and associated charges may differ depending on the type of card. This facility is available for quick cash access, but users should be mindful of the varying fees and limits depending on the card.

SBI Credit Card Cash Withdrawal Limit

The cash withdrawal or cash advance limit refers to the amount of cash a cardholder can withdraw using their SBI credit card. This limit is usually a percentage of the total available credit limit. This cash withdrawal limit varies from card to card.

SBI Credit Card Cash Advance Fee

SBI charges a cash withdrawal fee every time you use your credit card for cash advances. This fee is added to your credit card bill in the next statement cycle.

The standard cash advance fee is 2.5% of the withdrawn amount or Rs. 300 (whichever is higher). For international cash withdrawals, the fee is 3% or Rs. 300 (whichever is higher). For example, if you withdraw Rs. 1,000 using your SBI credit card, the cash advance fee will be Rs. 300 in your next bill. If you withdraw Rs. 15,000, the fee will be Rs. 375.

SBI reserves the right to change the cash advance fee at any time. Additionally, cash advances will attract finance charges from the day of withdrawal until the amount is fully repaid.

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Cash Withdrawal Process from SBI Credit Card

Withdrawing cash from your SBI credit card is similar to using a debit card. Here's how to do it:

  1. Visit an ATM: Go to the nearest ATM that accepts credit cards.
  2. Insert Your Credit Card: Insert the ‘Chip side’ of your SBI credit card into the ATM.
  3. Select Language: Choose the language in which you want to proceed.
  4. Choose Account Type: Select the account option linked to your credit card.
  5. Enter Withdrawal Amount: Enter the amount you wish to withdraw.
  6. Enter Credit Card PIN: Enter your credit card’s PIN for authentication.
  7. Collect Cash: Once approved, collect your cash from the dispensing area.

In addition to cash withdrawal, ATMs allow you to perform other functions like balance inquiry, PIN change, or PIN regeneration for your credit card.

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SBI Credit Card Cash Withdrawal Charges

Withdrawing cash using an SBI credit card comes with certain charges, such as cash advance fees and interest charges, which cardholders must pay when settling their credit card bills. Unlike regular purchases made with a credit card, cash withdrawals do not have an interest-free period.

This means that interest will begin accruing from the day the cash is withdrawn. Cardholders are not eligible for the usual 45-55 day interest-free period, which typically applies to other transactions. Therefore, interest charges start accumulating immediately after a cash withdrawal. Here are the key charges SBI credit cardholders will incur when using their cards for cash withdrawals.

SBI Cash Advance Fees and Charges

Here are the fees and charges associated with the cash withdrawal feature of SBI credit cards:

  • Cash Advance Limit: 80% of the total available credit limit
  • Interest-Free Period: Nil (no interest-free period for cash withdrawals)
  • Minimum Repayment Amount: 5% of the minimum outstanding balance
  • Cash Advance Fee: 2.5% of the withdrawn amount or Rs. 300 (whichever is higher)
  • Finance Charges on Revolving Credit:
    • 2.25% per month (30% annual rate)
    • 3.35% per month (40.2% annual rate)

These charges apply when using your SBI credit card for cash withdrawals.

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Cash Advance Limit

Now that we know that we can withdraw cash from our credit cards but you have to be aware of the fact that you cannot withdraw an unlimited amount from your credit card. The credit card issuers have a certain predefined limit beyond which you can not withdraw cash from your credit card. The cash limit on the credit card is not equal to the credit limit of the credit card but instead is a small percentage of the credit limit. This credit limit is different for different individuals as this is based on an individual’s annual income, credit score, etc, therefore the cash limit will also vary from individual to individual.

For most SBI Credit Cards, the bank allows only 10% of the credit limit as the cash limit on the credit card.

SBI Credit Card Finance Charges

Here are the finance charges on cash advances for a few SBI credit card variants:

  1. SBI Card Unnati, SBI Card Elite Advantage
    • Monthly Rate: 2.25%
    • Annual Rate: 30%
  2. BPCL SBI Card, SBI Card Elite, Central SBI Select, SBI Card Prime, Central SBI Select+, SBI Prime Advantage, SimplyCLICK, SimplySAVE, STYLEUP
    • Monthly Rate: 3.35%
    • Annual Rate: 40.2%

Pros and Cons of SBI Cash Advance Facility

Advantages of Cash Advance:

  • Allows cardholders to withdraw cash during emergencies or when card payments are not accepted.
  • No documentation required, making the process simple.
  • No need for bank approval to withdraw cash.
  • Cash can be withdrawn from both domestic and international ATMs.

Disadvantages:

  • A fee is charged every time cash is withdrawn using the credit card.
  • Interest starts accruing from the day of withdrawal.
  • No interest-free period for cash advances.
  • Cash withdrawals do not earn reward points.
  • Interest rates are higher compared to regular card transactions.
SBI Credit Cards

FAQs about SBI Credit Card Cash Advance Facility

Yes, you can use your SBI credit card to withdraw cash from any bank's ATM.

Yes, there is a limit. You can withdraw up to a certain percentage of your total credit limit. This percentage varies depending on your specific credit card.

Yes, a cash advance fee is charged. For domestic withdrawals, it's 2.5% of the amount withdrawn or Rs. 500, whichever is higher. For international withdrawals, the fee is also 2.5% of the amount withdrawn or Rs. 500, whichever is higher.

No, withdrawing cash using your SBI credit card does not earn you reward points.

The amount you withdraw will appear in your next billing statement.

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Please click the links below to find details and instructions related to SBI Credit Cards that can help you in easily managing your card:

SBI Bank Credit Cards

Credit Card by Banks

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